The Investment Coordination Committee-Cabinet Committee (ICC-CC) is set to recommend to the National Economic and Development Authority (Neda) board the further streamlining of the approval process for big-ticket projects funded by official development assistance (ODA) loans to help fast-track the pursuit of flagship infrastructure projects.
According to Finance Secretary Carlos G. Dominguez III, who chairs the ICC-CC, approval of the new “three-in-one” streamlined process by the Neda board will reduce the time to assess the financing leg of projects.
Dominguez said the new process completes the approval process within one Neda board meeting, instead of the usual four to eight weeks.
“Our goal here is to speed up the approval and implementation of our flagship infrastructure projects so that we can get shovels on the ground as soon as possible,” Dominguez added.
The Neda Board approval begins with the issuance of the special Presidential authority (SPA) to government officials to negotiate and sign the loan, guarantee or grant agreement for the project and then the forward obligational authority from the Department of Budget and Management is issued simultaneously during a single Neda Board meeting under the three-in-one streamlined process.
“We are really tightening up the procedures to speed up the processing of our projects,” he said.
At a recent hearing of the Senate finance committee on the proposed 2018 budget of the Department of Finance, Dominguez said the three-in-one process is among the steps taken to significantly improve the absorptive capacity of government agencies, particularly those involved in the government’s “Build, Build, Build” program.
Dominguez said measures, such as the meeting of the BBB team every 10 days to monitor the progress of the flagship infra projects, is also being done.
“Moreover, together with Finance Undersecretary Gil S. Beltran, we are working on several antired tape procedures without removing the necessary checks and balances on these projects,” he said.
Dominguez said the ICC-CC approved the three-in-one process at their August 11 meeting.
The old project approval process was for the Neda Board to approve a project and then wait for another Neda Board meeting to act on the other requirements necessary to get the loan or grant agreement signed.