IFC ready to fund eco-friendly tourism projects in Boracay

The International Finance Corp. (IFC), the private financing arm of the World Bank said it is willing to provide loans to both the public and private sector that have environmentally-sound and sustainable tourism-related projects in the world famous tourist destination, Boracay Island.

"We have a credit window that could be availed of be investors that can meet our criteria of implementing tourism-related projects that are both viable and sustainable, and ensure the environment is preserved and enhanced even," said IFC country manager Vipul Bhagat.

Bhagat who presented in yesterday’s investors forum, the findings and recommendations of an IFC-funded study on the tourism development and investment opportunities in Boracay, urged governing agencies in the island to come up with a realistic development plan to boost tourism efforts.

"There is an urgent need to update the 1990 Boracay Master Development Plan and to redesign the marketing strategy to make the island more visible and accessible to tourists from the world," said IFC country manager Vipul Bhagat.

One of the key recommendations of the IFC is to impose a moratorium on any new construction pending the finalization of a master development plan for Boracay.

Bhagat added that the moratorium should not only cover new construction but also ongoing construction that do not have the required permits or are violating applicable rules and regulations. The IFC added the moratorium should also include any type of settlement, business permit and vehicle licenses.

The IFC study also stressed the need for a strategic tourism marketing and promotion effort for Boracay while emphasizing the need to develop sustainable infrastructure that will transform it into a world-class island resort.

The study cited the need to package new tourism-related investments while also addressing critical issues such as migration, zoning, lack of health facilities and medical personnel, visual and noise pollution, solid wastewater management, energy supply and inter-island and intra-island transport.

The IFC’s other recommendations include the transfer of solid waste management facility from Boracay to Caticlan, construction of low-cost mainland housing to ease migration and over-congestion in Boracay, an improved transport facility between the two islands; Caticlan airport terminal facilities; full-service hospital to respond to emergencies; and an agro-industrial center in Caticlan with ice and cold storage facilities and a public market.

Mina Gabor, president of the Philippine Small and Medium Business Development Foundation (Philsmed) which collaborated in the IFC-commissioned study noted critical areas of concern that should be given proper attention to attract responsible investors in Boracay.

"These concerns such as elevating facilities to meet world-class standards and installing a professional management group, should essentially provide investors the enabling or conducive environment to help them determine the kind of investment that they will put into Boracay," said Gabor.

She said that both the local government and national governing agencies such as the Department of Tourism, Philippine Tourism Authority, Department of Transportation and Communication, Department of Public Works and Highways, and others, should put in the required infrastructure that would enable Boracay to accommodate the increasing volume of tourist arrivals.