PH infrastructure drive to boost growth, jobs

The National Economic and Development Authority (NEDA) underscored the essential role of infrastructure development in sustaining the Philippines’ economic growth and promoting inclusion during the ‘Build-Better-More’ Infrastructure Forum.

NEDA Secretary Arsenio M. Balisacan highlighted the government’s commitment to creating a conducive environment for infrastructure investments, as outlined in the Philippine Development Plan (PDP) 2023-2028.

“By expanding and upgrading our infrastructure, we aim to create enabling conditions for high-quality job creation for millions of Filipinos, raise the competitiveness of our local industries, diversify our growth drivers to strengthen economic resilience, and enhance regional connectivity by linking our leading and lagging regions,” Balisacan said in a statement.

Key Strategies and Progress

The government has launched several initiatives to address the challenges in the country’s infrastructure sector, perceived by analysts as a significant barrier to investment opportunities.

Balisacan emphasized the strong start made by the Marcos administration through the enactment of key policy reforms and initiatives.

Critical to achieving the target of 5-6% annual infrastructure spending to GDP is the continued evaluation, approval, and rollout of the 185 Infrastructure Flagship Projects (IFPs) under the Build-Better-More Program.

These projects, valued at approximately PHP 9.54 trillion (US$163 billion), span various sectors and are crucial for driving economic growth.

“The government enacted and implemented key policy reforms and initiatives to create a more enabling policy and regulatory environment for investment and economic growth,” Balisacan emphasized.

Completed and Ongoing Projects

Three major projects have been completed:

-Samar Pacific Coastal Road Project

-Integrated Disaster Risk Reduction and Climate Change Adaptation Measures in the Low-Lying Areas of Pampanga Bay Project

-Flood Risk Improvement and Management Project for Cagayan de Oro River

Additionally, 63 projects are currently underway, including:

-Pasig-Marikina River Channel Improvement Project

-Central Luzon Link Expressway

-Panguil Bay Bridge

Thirty-one more projects have been approved for implementation, six are awaiting government approval, and 82 are in the preparation stage.

Policy Reforms and Legislative Measures

To support infrastructure development, the government has enacted several critical policies over the past two years.

These include the amended Implementing Rules and Regulations (IRRs) of the Renewable Energy Act and the amended Public Service Act, which allow greater foreign investment participation in critical infrastructure.

“PPPs shall remain one of our key drivers for sustaining spending on physical and social infrastructure. Promisingly, the number of pipeline projects has grown over these past few months. As of early July, we have 205 PPP projects, including those in local government units, under implementation and 143 projects in the pipeline,” Balisacan noted.

The passage of the landmark Public-Private Partnership (PPP) Code strengthens the private sector’s role in financing, operating, and maintaining viable infrastructure projects.

Additionally, the ratification of the Regional Comprehensive Economic Partnership (RCEP) further opens the economy to boost trade and investments.

In April 2024, President Marcos signed Executive Order No. 59 to expedite the implementation of IFPs by streamlining the processing of permits, aiming to eliminate delays in issuing licenses, clearances, or permits needed at the national and local levels.

Future Outlook

Balisacan highlighted the government’s priority legislative measures targeted for passage before the end of the 19th Congress in June 2025.

The reforms aim to address constraints impeding the transformation of the economy’s production sectors, paving the way for stronger infrastructure development.

“With our economy ready to take off, we are now ensuring that we sustain the momentum by further adjusting our policy frameworks and pushing hard to deliver on our promises. Under a Bagong Pilipinas, we assure the Filipino people that we are working relentlessly to realize our country’s immense potential,” Balisacan concluded.

The Build-Better-More Infrastructure Forum, a three-day event organized by the Presidential Communications Office, served as a platform to discuss the country’s infrastructure development plans and strategies, highlighting the government’s commitment to fostering economic growth and resilience through infrastructure development.