Gov't sets aside P399B for infra projects in 2014

MANILA, Philippines - The government is allotting a total of P399 billion for public infrastructure projects in 2014  that will hasten inclusive growth, the National Economic and Development Authority said on Monday.

“The dramatic surge in infrastructure spending next year will lower the cost of transporting goods and people, support agricultural productivity, reduce risks from disasters, and generate economic investments and employment. The proposed projects will ultimately benefit the poor and vulnerable sectors,” Socioeconomic Planning Secretary Arsenio Balisacan said.

The 2014 budget for infrastructure is 35 percent higher than the P295 billion approved for 2013, he said.

He said most of the projects will go the government's Transport Infrastructure Development Program, a P180-billion project led by the Department of Transportation and Communications and supported by the Departments of Public Works and Highways, Agriculture, Science and Technology the and Metro Manila Development Authority.

“The overall allocation of PhP399 billion is about 3 percent of our gross domestic product (GDP) target for 2014.  By 2016, planned infrastructure spending will amount to about PhP820 billion, or approximately 5 percent of GDP,” Balisacan said.

He added that the national budget for 2014 also includes a P400-million special purpose fund for conducting feasibility studies on high-priority infrastucture projects under the govermnent's Public Investment Program.

"With this fund, we need not depend on donor-driven feasibility studies. We can ultimately find the cheapest source of financing that best serves the interest of the Philippine government.” he said.