PH secures ₱14B loan from France to support local disaster risk response

enablePagination: false
maxItemsPerPage: 10
maxPaginationLinks: 10

Metro Manila (CNN Philippines, December 21) — The Philippines has secured a €250 million loan, or around ₱14 billion, from France to support enhancement of disaster risk response at the local level

In a statement, the Department of Finance (DOF) said it signed a policy-based loan with the Agence Française de Développement (AFD) that will “support the Department of the Interior and Local Government (DILG) in the process of decentralizing the mandate and services for disaster risk reduction and climate change management to the Local Government Units (LGUs).”

The funding will help build the capacity of local governments and support ongoing reform programs amid the COVID-19 pandemic.

It also aims to build local resilience, limit damage, shorten response time, and make recovery period more effective following a disaster.

Finance Secretary Carlos Dominguez III thanked the French government for the financial assistance, adding it “will complement our move to shift our focus from theorizing about global warming to executing practical climate adaptation and mitigation projects on the ground.”

Moreover, it highlights the strong partnership between the two countries in mitigating the impact of climate change, he said.

For AFD country director Laurent Klein, the loan is “in line with France's commitment to support climate action under the Paris Agreement, in order to help the Philippine Government meet the ambitious targets it set for itself when it submitted its Nationally Determined Contribution (NDC) to the UNFCCC [United Nations Framework Convention on Climate Change] earlier this year.”

Under the Philippines’ NDC, the country commits to reduce greenhouse gas emissions by 75% by 2030.

It also aims to implement adaptation measures across various sectors, like agriculture, forestry, and health, to reduce and address residual loss and damage.