Actress Agot Isidro has some choice words regarding the loans that the Duterte administration has incurred.
According to the actress, the next generation will surely have a hard time paying the loans that this government has borrowed.
The Philippines is set to borrow $2.8 billion or more than P134 billion from the World Bank. The reason is that the country is in dire need to cover the expense for the acquisition of Covid-19 vaccines and other developmental projects for the next couple of years.
For the Department of Health, the country is looking for a $300-million loan for the COVID-19 Emergency Response Project. It will be used for vaccine purchases.
There is also a $400 million fund for the Pasig-Marikina River Basin Flood Management Project and also $309.5-million Seismic Risk Reduction and Resilience Project shouldered by the World Bank, both projects of the Department of Public Works and Highways.
For the Department of Agriculture’s projects, $280 million for the $361.83-million Rural Development Project Second Additional Financing; $200 million for the $220-million Fisheries and Coastal Resiliency Project, and $100 million for the $110-million Mindanao Inclusive Agriculture Development Project.
National Power Corp. and Power Sector Assets and Liabilities Management Corp. (PSALM) are also up for a $300-million loan. This is for the Agus-Pulangi Hydropower Complex Rehabilitation Project.
The Department of Education is also looking for the World Bank to finance their two projects: $200 million for the $210-million Strengthening Alternative Learning System for All plus $110 million for the $120-million Teacher Effectiveness and Competencies Enhancement Project.
Department of Finance’s First Financial Sector Reform Development Policy Financing would also take $200-million in World Bank loan.
Department of Tourism also has a project that needs $170.5-million. This is the Sustainable, Inclusive and Resilient Tourism Project.
Growing debt of the Philippines
Last year alone, news reports revealed that the current administration will have a P13.7 trillion by 2022. And because of the government’s fight against the coronavirus, Duterte needed to borrow more in order to revive the economy.
On August 27, 2020, Finance Secretary Carlos G. Dominguez III said that the Philippines has already borrowed $8.83 billion from bilateral development partners, multilateral lenders, and offshore commercial market. The loans were for the fight against the health and socioeconomic crises inflicted by the COVID-19 pandemic.
During the September 4 House appropriation committee presentation last year, there was a proposed P4.5 trillion national budget for 2021. It was also revealed that the gross borrowing for 2020 was over P3 trillion as per Finance Secretary Dominguez.
Just for last year’s national debt, it has already reached P10.028 billion.
With 2021 budgets shown, these borrowings will jack up the country’s outstanding debt to P10.16 trillion by yearend and P11.98 trillion in 2021. However, with the recent loan of the government, it would likely be over the estimated year-end loan.
