The Japan International Cooperation Agency (JICA) has entered an agreement with the Philippine Government to provide an official development assistance (ODA) loan of up to JPY104.53bn ($985m) for the first phase of the Metro Manila Subway project.

According to the deal, the loan will have an annual interest of 0.10%, which needs to be repaid in 40 years with a grace period of 12 years.

Go deeper with GlobalData

Premium Insights

The gold standard of business intelligence.

Find out more

Related Company Profiles

View all

The loan will be used to construct stations, underground tunnels between stations, depots and other public works, as well as procure rail systems and rolling stocks.

It will also contribute towards consulting services such as tender assistance, construction supervision and Transit Oriented Development support.

“The loan will be used to construct stations, underground tunnels between stations, depots and other public works, as well as procure rail systems and rolling stocks.”

Development of the project will further see the use of Special Terms for Economic Partnership (STEP), which refers to special assistance terms for promoting the visibility of Japanese aid by transferring Japanese technology and expertise to developing nations.

The Metro Manila Subway is to be developed by the Philippines Department of Transportation and will feature 13 underground stations measuring approximately 25km long. It represents the first subway in the Philippines to connect Quezon City with Parañaque.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Upon completion, the project is expected to accommodate growing transportation needs and ease traffic congestion in Metro Manila, one of the three metropolitan areas in the Philippines. The population of the area has rapidly increased from 7.92 million people in 1990 to 12.87 million in 2015, yet is currently only served by three rail lines covering 50km.

Completion of the project is expected in September 2025, once all the facilities are put into service.