MANILA, Philippines — An executive order (EO) for a P63.2-billion free trade agreement (FTA) between Manila and Seoul has been approved, according to the National Economic and Development Authority (NEDA) on Tuesday, December 17.
President Ferdinand Marcos Jr., who chairs NEDA, made the decision during a meeting.
Related Stories
Marcos oversaw the signing of the FTA back in September 2023 on the sidelines of the 43rd Association of Southeast Asian Nations Summit in Jakarta.
The FTA, however, has faced delays in ratification.
“President Ferdinand R. Marcos Jr. approved the issuance of an executive order to implement the commitments under the free trade agreement between the Philippines and Korea and two significant projects worth P63.2 billion to enhance agricultural productivity, regional connectivity, and economic activity in the country,” NEDA said in a statement.
Once the FTA is implemented implemented, South Korea will grant preferential duty-free entry for 11,164 Philippine products, amounting to $3.18 billion or 87.4% of all Philippine exports to South Korea.
Additionally, NEDA approved several other major projects, including the P37.5-billion Ilocos Norte-Ilocos Sur-Abra Irrigation Project, or INISAIP.
The project involves constructing a dam on the Palsiguan River in Abra, an afterbay dam in Nueva Era in Ilocos Norte, and other irrigation canals in the area. Ilocos Norte is the home province of Marcos.
“With a six-year implementation period, INISAIP will benefit approximately 32,604 families, significantly improving their livelihoods and fostering sustainable economic development in the Ilocos and Cordillera regions,” said NEDA Secretary Arsenio Balisacan said.
With an Official Development Assistance loan from the French government, NEDA also approved a P25.7-billion Accelerated Bridge Construction Project for Greater Economic Mobility and Calamity Response, which aims to build 29 bridges across the country.
NEDA also announced adjustments to several projects regarding scope, cost, loan cancellations, and extensions of implementation periods:
- Value Chain Innovation for Sustainable Transformation in Agrarian Reform Communities of the Department of Agrarian Reform
- Health System Enhancement to Address and Limit COVID-19 Project of the Department of Health
- Panglao-Tagbilaran City Offshore Bridge Connector Project of the Department of Public Works and Highways
- Metro Manila Interchange Construction Project, Phase VI of the Department of Public Works and Highways
- North-South Commuter Railway System Project – Malolos-Clark Railway Project (MCRP), Tranche 1 of the Department of Transportation