ODA portfolio reaches $37.29 billion in 2023

MANILA, Philippines — The country’s active official development assistance (ODA) portfolio rose to $37.29 billion in 2023, according to the National Economic and Development Authority (NEDA).

The ODA portfolio review report released by the NEDA showed loans and grants received by the country went up by 15 percent last year from $32.40 billion in 2022.

NEDA Undersecretary Joseph Capuno said in a press briefing yesterday that of the active ODA portfolio last year, there were 113 loans amounting to $35.07 billion.

There were also 325 grants worth $2.22 billion last year.

ODA covers loans or grants aimed at promoting the country’s economic development.

These loans or grants are sourced from governments of foreign countries with whom the Philippines has diplomatic, trade relations or bilateral agreements, or which are members of the United Nations, their agencies and international or multilateral lending institutions.

The Philippines’ ODA includes 13 new program loans amounting to $6 billion and 17 new project loans worth $6.08 billion.

Among the new program loans is a $1-billion allocation for the Post-COVID-19 Business and Employment Recovery Program aimed at stimulating job creation and economic growth, which were both severely affected by the pandemic.

The country also secured 57 new ODA grants worth $240.53 million in 2023.

The NEDA said these grants are designed to enhance the capacities of the government and local stakeholders in public service delivery and in addressing developmental challenges including inequitable growth, vulnerability to natural disasters, lack of access to education and limited innovation.

When it comes to Philippine ODA sources, Japan ranked first with a 32.36 percent share amounting to $12.07 billion last year.

The Asian Development Bank placed second with 30.65 percent or $11.43 billion, followed by the World Bank with 21.95 percent or $8.19 billion.

By sector, infrastructure received the biggest share of total ODA last year with 54.59 percent or  $20.36 billion.

In terms of scope, 39.10 percent or $14.58 billion of ODA last year had nationwide coverage, while 28.56 percent or $10.65 billion were region-specific and 32.34 percent or $12.06 billion covered multiple regions.

“We have made significant progress in securing and utilizing our funding sources. We are committed to ensuring that these funds are efficiently spent by addressing critical challenges such as procurement delays and problems in right-of-way acquisitions. This underscores the need for a whole-of-government approach, coupled with assistance from our other development partners, to implement strategic interventions and enhance our project management practices,” NEDA Secretary Arsenio Balisacan said.