Philippines, EU Strengthen Development Cooperation

The Philippines and the European Union (EU) reaffirmed their shared commitment to development priorities during the Fourth Meeting of the Sub-Committee on Development Cooperation held in Manila on Nov. 25, 2024.

The meeting, co-chaired by Department of Finance (DOF) Undersecretary Joven Z. Balbosa and European Commission official Mario Ronconi, emphasized cooperation in areas such as the green economy, digital transformation, peace, and good governance. EU Ambassador to the Philippines Massimo Santoro also participated.

The Philippines highlighted its strong economic performance and growth outlook, aligning these with its strategic priorities. The EU updated its policy framework, reflecting findings from its mid-term review of the Multiannual Financial Framework for 2021-2027.

Both sides reviewed progress on major initiatives, with particular focus on the Mindanao peace process, good governance, and sustainable economic development. EU-funded programs continue to support the socio-economic development of the Bangsamoro Autonomous Region in Muslim Mindanao (BARMM) and broader Mindanao.

“Civil society plays a vital role in implementing these programs,” a joint statement emphasized, underscoring the EU’s long-term commitment to peacebuilding in the region.

Discussions also covered investments in disaster risk reduction and water management projects, as well as potential new investments in the green economy. The European Investment Bank (EIB) and other European Development Finance Institutions were identified as critical partners in advancing blended finance initiatives.

Global Gateway projects, which focus on green and digital economies, were a major agenda item. The meeting highlighted the importance of public-private partnerships and collaboration with multilateral banks such as the Asian Development Bank to finance sustainable projects.

Sustainable use of critical raw materials, green finance, and regional cooperation under the EU-ASEAN Sustainable Connectivity Package were also explored. These programs aim to enhance the Philippines’ role in regional development and support seafarers and energy initiatives.

Ambassador Santoro and Undersecretary Balbosa held side discussions on partnerships with European development institutions, including Agence Française de Développement and KfW Development Bank. These partnerships aim to co-finance green energy and connectivity initiatives under the Team Europe framework.

Private sector engagement was recognized as essential in achieving the Philippines’ development objectives, with both parties pledging to further strengthen collaboration for sustainable growth.