Caloocan City council approves 3 projects

The Caloocan City government’s proposed projects will soon come into reality with the recent approval by the city council of an ordinance creating a P1 billion flotation bond which will fund three major undertakings.

Known as Katipunan Bonds, proceeds from this project will be used in the construction and development of the Caloocan City public market, the City Hall park with commercial center and toll parking and the rehabilitation and construction of the city’s general hospital.

"We are now in the process of ironing out some kinks, but hopefully by the first or second week of January, we could start with the projects’ operation," Mayor Reynaldo Malonzo said.

Malonzo expressed gratitude to the investors who, despite the economic crisis, invested in the city, considered the northern commercial center of Metro Manila.

Malonzo especially acknowledged the Philippine National Bank Trust Banking Corp., RCBC Capital Corp., LGU Guarantee Corp., and Preferred Ventures Corp. for their "trust and confidence in my administration."

Authored by Councilor Edgar Erice, the majority leader, the ordinance creating the flotation bond empowered Malonzo to represent the city in the "full and total implementation" of the said projects.

Under the ordinance, P178 million will be allotted for the public market construction, P217 million for the city hall park, and P202 million for the general hospital.

The remaining funds will be used to finance the construction of significant infrastructure projects to further improve basic services to city residents, Erice said.

The flotation bond, Erice added, shall have a maturity date seven years from the date of issue, with the principal amortized semi-annually, starting on the 18th month from the date of issue.

It has an interest rate based on the prevailing average of the 182 T-Bill rate plus a spread of not more than two percent per annum, Erice said. – Pete Laude