ADB work in PH to continue
The Asian Development Bank (ADB) said a corruption scandal involving flood control projects would not deter it from financing work in the Philippines, noting that the institution maintains “close oversight” of its investments.
“You know, we’re always cautious about all our projects,” Andrew Jeffries, the bank’s country director for the Philippines, told reporters on the sidelines of the Arangkada Forum on Thursday.
“So, it doesn’t stop our work, but it makes the processes we have in place all the more important,” he added.
Jeffries, who took up his post in August, oversees the ADB’s $13-billion financing portfolio in the Philippines and the implementation of its six-year country partnership plan. The Manila-based lender currently has one flood control project underway, covering two river basins in Mindanao and another in northern Luzon.
At present, the Philippines is grappling with a high-profile corruption scandal tied to government-funded flood control projects, with some lawmakers accused of taking kickbacks from contractors behind substandard or fraudulent work. Some observers had warned that the controversy could chill investment.
Jeffries said such concerns would not prevent the ADB from supporting the country, noting that another flood mitigation project is in the pipeline, “a few years away.”
He added that the bank is also preparing a new policy-based loan of about $500 million to support efforts to improve the business climate by reducing regulatory burdens and increasing transparency.
“The Philippines, along with all the other governments, is a shareholder of ADB. And so, our role is to help,” Jeffries said.
“So, our role isn’t to shy away from problems. Our role is to try to help our developing member countries and governments solve problems,” he added.
