The World Bank has allocated $320.83 million for poverty reduction-related projects of the Philippines this year. The loan forms part of WB's total $1.16 billion loan to the Philippines this year.
Bulk of the $320.83 million loan will fund the Third Rural Finance project amounting to $150 million. This project is expected to assist in financing development of productive resources and facilities in the rural areas of the country and strengthen the institutional capacity of the Land Bank of the Philippnes and the People's Credit and Finance Corp. as a wholesale providers of finance.
A portion of the $320.83 million will go to a water resources development project worth $50.73 million. This project will assist government in developing an appropriate policy and institutional framework to improve water resources planning, development and management in the country. It will also initiate an integrated and comprehensive approach to watershed management.
Some $50 million will fund the Community-based Resource Management which is expected to reduce rural poverty and environmental degradation.
About $38.6 million will be used for the Water District Development Project to help participate local government units (LGUs) and water districts plan and implement sewerage and sanitation investments based on their residents' wishes and willingness to pay and assist the government in developing transparent regulatory mechanisms.
The World Bank has also set aside $23.3 million for LGU Urban Water and Sanitation (APL) to assist selected LGUs provide sustainable water and sanitation services and strengthen the institutional and technical capacity to manage water utilities.