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BusinessMirror.com.ph Home Top News EU extends P6-B grant for govt programs

EU extends P6-B grant for govt programs

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THE European Union plans to extend another P6-billion grant to the Philippines in the next three years to help in its health and government programs.

Hans Farnhammer, EU first secretary and head of the Development Cooperation, told reporters the three-year framework will start next year 2013. The EU is still finalizing the mechanics of the official development aid but said it will likely amount to around P2 billion every year for three years.

“The current program is three years but we will prepare another multiyear program next year,” Farnhammer said. “It will be similar in amount [to the average of P2 billion per year]. It will provide budget support to the government. Basically, we use the health policy of the government as a reference.”

Farnhammer said with the health policy at the heart of the new framework for 2013 to 2016, this would include funds for the President Aquino’s Universal Healthcare program. The EU is providing around P800 million per year for five years or a total of P4 billion, Farnhammer said.

The three-year framework also aims to help finance other projects, such as funds for the Mindanao Trust Fund managed by the World Bank and several trade related projects.

The EU is also starting three multi-year projects this year, which will amount to around P1.2 billion. These will focus on good government, public finance and migration.

Of the three projects to be undertaken this year, the largest amount of P600 million will be for the “Justice for All” project with the Department of the Interior and Local Government.

Farnhammer said the project seeks to implement various good-government projects to help the administration in its efforts to root out graft and corruption in the country.

Other projects include the P450-million public-finance management project with the Department of Budget and Management and the P200- million migration-planning project with the National Economic and Development Authority.

The EU extended a total of 124 million euros of ODA to the Philippines to help finance various anti-poverty and health programs between 2002 and 2010.

The EU is currently the world’s largest ODA donor with a total of 53.8 billion euros in ODA worldwide for 2010 alone. This is almost half of global ODA in 2010.

 


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