Poland offers credit facility, $140 M joint arms venture to RP

Poland yesterday extended a $140-million credit facility to the Philippines for defense procurement as the two countries explored a possible munitions joint venture, officials for both countries said.

The aid was announced on the third day of a visit by Polish Defense Minister Radoslaw Sikorski.

He said Poland was extending a credit facility to the Philippines, payable over eight and a half years and including a two-year grace period. "This is for the purchase of equipment," he added.

Defense department spokesman Rosulo Manlangit said the loan was worth $140 million.

Sikorski and his Filipino counterpart Avelino Cruz told a joint news conference that arms manufacturers from both countries which they did not name had begun talks for possible joint venture.

"We just don’t want to sell things to the Philippines. We want to invest here — our (Poland and Philippines) companies are talking," Sikorski said.

"We can evolve a joint venture or cooperation on manufacturing small arms and ammunition," Cruz added.

Defense cooperation between Manila and Warsaw could also cover exchange of visits and intelligence information, he said.

Sikorski is the first Polish defense minister to visit the Philippines. Prior to his courtesy call on Cruz, Sikorski was given full military honors at the Camp Aguinaldo grandstand. He is also set to pay a courtesy visit to national police chief Director General Arturo Lomibao in Camp Crame.—AFP, Cecille Suerte Felipe