The Philippines has secured a massive PHP 85.45 billion investment from Japan to accelerate two “Build Better More” flagship projects. Foreign Affairs Secretary Ma. Theresa Lazaro and Japanese Ambassador Endo Kazuya finalized the agreements in Pasay City, marking a significant step in the nation’s push for long-term economic resilience and regional connectivity.
The lion’s share of the funding—PHP 84.81 billion—serves as the fourth tranche for Phase 1 of the Metro Manila Subway. This 27.5-kilometer “Project of the Century” will stretch from Valenzuela to NAIA Terminal 3. Beyond just tracks and tunnels, this phase includes the procurement of 30 train sets and the construction of 17 stations integrated with the North-South Commuter Railway. By easing urban gridlock, the project aims to reclaim billions in lost economic productivity caused by traffic congestion.
“Supporting the Philippines’ development is not only vital for the country itself, but also for the stability and prosperity of the wider region,” Endo said. “Japan remains firmly committed to continuing its cooperation. While our security cooperation is growing rapidly, development cooperation remains the cornerstone of Japan-Philippines relationship.”
Lazaro, meanwhile, thanked Japan for its continued support for infrastructure development in the country, saying the two projects – both key programs under the Build Better More of the Marcos administration – signal the government’s push to “make progress felt by our people.”
“Growth must be both efficient and inclusive. We must ease congestion and improve integration where economic activity is concentrated and strengthen connectivity in areas where potential is still being unlocked,” she said.
The MMSP 1 covers the construction of a 27.5 km. subway line from Valenzuela to the Ninoy Aquino International Airport Terminal 3, traversing Bicutan.
The phase involves the installation of a 33.1-km. electromechanical system; physical integration with the North-South Commuter Railway (NCSR) System, particularly the Food Terminal Inc. (FTI) to Bicutan segment; construction of a depot and 17 stations; and the procurement of 30 train sets.
The second loan, meanwhile, covers the financing of engineering services for the highway section connecting Cagayan de Oro and Malaybalay, to reduce travel time from 6.5 hours to 3.5 hours. Scheduled for full implementation between 2026 and 2034, this 64.7-kilometer four-lane expressway will cut travel time nearly in half—from 6.5 hours down to just 3.5 hours. The proposed infrastructures will include Tagoloan and Cagayan de Oro in Misamis Oriental, as well as Manolo Fortich, Sumilao, Impasugong, and Malaybalay in Bukidnon.
The ambitious engineering plan includes 47 bridges, featuring nine special long-span structures to navigate the rugged Bukidnon terrain.
With additional report: PHILIPPINE NEWS AGENCY, Joyce Ann L. Rocamora
