- Category: Economy
19 Nov 2013
- Written by Jovee Marie N. dela Cruz
A party-list lawmaker on Tuesday cautioned the government on incurring new foreign loans from the Asian Development Bank (ADB) and the World Bank for relief and rehabilitation.
Party-list Rep. Terry Ridon of Kabataan said that debt burden will only result to a more debilitating fiscal situation in the future.
The ADB and WB reportedly earmarked $500 million each for the rehabilitation and reconstruction of disaster-ridden areas in the Philippines following the onslaught of Supertyphoon Yolanda (international code name Haiyan).
For its part, the National Economic and Development Authority also said the loans to be availed of will be “soft loans,” which means that its use is not predetermined and can be used to plug funding requirements in the relief and rehabilitation of devastated areas.