The Philippines has taken several foreign loans from different institutions, and while you might think that’s enough money to help beat the pandemic, it seems we still need more money. The Department of Finance said on July 8 that the government is still negotiating loans.
According to DOF Secretary Carlos Dominguez, the Philippines is still looking to borrow from our bilateral and multilateral partners.
“We will not disclose the names and the terms until they are completed,” he said.
When asked if we would still borrow money for COVID-19 efforts, Dominguez said the government has the goal of raising P436 billion or roughly $8.72 billion in foreign loans.
So how far are we into that goal?
As of writing, the government has raised a total of $7.761 billion in loans from the following institutions: Asian Development Bank, World Bank, Asian Infrastructure Investment Bank, Japan International Cooperation Agency, and Agence Française de Développement as well as the issuance of global bonds.
Of that amount, $5.11 billion has been disbursed to the government.
If we’re talking grand total, the Philippines has borrowed P1.22 trillion from January to April 2020, not just for COVID-19 efforts, but also for other projects such as the Build, Build, Build program, and other economic relief projects.