ADB approves $380-M loan to improve Mindanao roads

MANILA, Philippines — The Asian Development Bank (ADB) has approved a $380-million loan to help improve the road network in the poorest areas of Mindanao, its biggest infrastructure investment in the region to date.

The improving growth gorridors in Mindanao Road Sector project seeks to upgrade 280 kilometers of national roads and bridges, most of which are in the Zamboanga Peninsula. This is the first Mindanao-specific project to be granted financing by the ADB in 16 years.

Road systems covered by the project would be made climate-resilient through elevated pavements, enhanced slope protection and better drainage. All roads covered would be geotagged and information would be accessible on the internet so the public can monitor the progress.

The core road systems covered by the project include the Alicia–Malangas, Tampilisan–Sandayong and Lutiman–Guicam–Olutanga roads, all in the Zamboanga Peninsula, said Jeffrey Miller, principal transport specialist at the ADB’s Southeast Asia Department.

The assistance would also help finance the detailed design of 300 kilometers of national highways in Mindanao that would be constructed in the future. To prepare the Department of Public Works and Highways (DPWH) in undertaking these projects, ADB would help the agency improve its long-term planning, fiscal accountability and human resource management in the transport sector.

The Mindanao Road Sector project would have a total estimated cost of $503 million, with the Philippine government shouldering $123 million.

Communities along the road projects stand to benefit by way of having greater access to social services and economic opportunities.

The project is expected to cover all current gaps un the road network of Zamboanga Peninsula faster than having the national or local government units undertake it. ADB said that to ensure minimal disruption in the implementation of the project, the government would hire engineers with knowledge of the local language and culture as well as the physical layout of the project areas.

“Improving roads in Mindanao will support the development of economic opportunities in areas such as agribusiness, ecotourism, and logistics, and improve access to markets, jobs, education, and health services,” said Miller in a briefing yesterday.

ADB principal country specialist Joven Balbosa said economic development in Mindanao remains concentrated in the northern and central regions following improvements in infrastructure. This has resulted in more private businesses set up and higher tourist arrivals.

Mindanao’s western and sourthernmost provinces, such as those in the Zamboanga Peninsula and ARMM, have lagged behind because of infrastructure gaps.

“If you look at Mindanao, most of the traffic is in the northern and central part. The concentration of development is there. So this will be an evolution of connectivity in Mindanao. We need to address the needs for connectivity in the south to encourage economic activity,” said Balbosa.

Miller said it is also important to invest in the infrastructure needs of Mindanao as it is a strategic gateway for trade.

“It is important to invest in critical infrastructure in Mindanao, an important gateway for trade and business in the Brunei Darussalam-Indonesia-Malaysia-Philippines East ASEAN Growth Area (BIMP-EAGA) Greater Sulawesi Corridor,” said Miller.