Standard Chartered sizes up Clark investment opportunities
The Bases Conversion and Development Authority (BCDA) is bringing in one of Asia’s oldest banks to scout investment and financing opportunities across its Clark properties, which form part of the foreign-backed Luzon Economic Corridor.
Under a memorandum of understanding, Standard Chartered Bank Philippines—the first foreign bank established in the country—will jointly study with the BCDA urban development and investment opportunities in the Clark Freeport and Special Economic Zone.
This will involve feasibility evaluation, technical knowledge sharing and quarterly discussions to identify potential projects that could be pursued across the 35,300-hectare estate that spans Pampanga and Tarlac.
The sprawling freeport and special economic zone covers the Clark Freeport Zone, Clark Aviation Capital, Clark International Airport and New Clark City.
“Partnerships like this can help mobilize the capital needed to move viable projects forward,” BCDA President and CEO Joshua Bingcang said in a statement.
“This can ease the financing burden on the government and our private sector partners, while allowing us to pursue more projects that can generate investments, create jobs and strengthen our communities,” he added.
While the partnership does not automatically mean Standard Chartered would bankroll projects at Clark, the BCDA said the bank may recommend financing solutions and other forms of support for projects deemed commercially feasible.
This could pave the way for Standard Chartered and the BCDA to negotiate separate agreements that spell out the appropriate collaboration structure for specific projects.
Michelangelo Kho Samson, CEO of Standard Chartered Bank Philippines, said the bank could draw on its experience providing financing solutions for infrastructure, power, water and technology projects in assessing potential opportunities with the BCDA.
“Clark is well-positioned to contribute to the Philippines’ next phase of growth,” Samson said.
The partnership comes as the Philippines seeks to crowd in investments into the Luzon Economic Corridor, the growth belt that spans Subic, Clark, Manila and Batangas. This corridor covers areas that together account for about half of the country’s gross domestic product.
