MANILA -- The governments of Italy and the Philippines have agreed on the extension of the Philippines-Italy Debt for Development Program for two years, the Department of Finance (DOF) said on Monday.
The Italian embassy in Manila, led by H.E. Ambassador Giorgio Guglielmino, and the Department of Finance (DOF)-International Finance Group, headed by Undersecretary Mark Dennis Y.C. Joven, facilitated the two-year extension of the program through an exchange of letters, the DOF said in a statement.
The Philippines was identified as one of the beneficiaries of the debt conversion program by the government of Italy under its 2011-2013 Programming Guidelines and Directions. A Debt for Development Swap Agreement between the Philippines and Italy was signed on May 29, 2012 through the DOF and the Italian embassy in Manila, allowing the conversion of the Philippines’ debt obligation amounting to EUR2,916,919.45 (about USD3.75 million or PHP160 million).
The Debt Swap Program aims to support projects on environmental protection and poverty reduction that are implemented by Philippine/Italian NGOs, national government agencies, and local government units. Projects supported by the program have been implemented in provinces/districts in the Philippines with the highest poverty rates and have been carried out in a context of effective participation of the local communities.
The program has supported nine projects – two small (maximum of PHP10 million each), five medium (maximum of PHP25 million each), and two large (maximum of PHP35 million each).
To date, two out of the nine projects have already finished implementation, while the remaining seven are being considered to receive continued support with the two-year extension of the program.
Among the nine projects, the Enhancing Communities’ Capacity for Inclusive Ecosystem Management and Rural Economic Sustainability (ECO-CARES) implemented by Xavier Science Foundation Inc. has been notable in terms of project implementation. The project aims to increase forest cover by at least 200 hectares, and improve economic opportunities within the Cagayan de Oro river basin, particularly in the upland municipalities of Talakag, Libona, and Baungon in the province of Bukidnon.
Meanwhile, the two projects whose implementation has already been completed are the Tabuk Eco-Spirituality Center Project and the Sustainable Eco-Tourism Project in the Puerto Princesa Underground River Area. Implemented by the Mother Consuelo Development Foundation in Tabuk City, Kalinga, the Tabuk Eco-Spirituality Center Project aims to re-forest 15 hectares, and provide livelihood activities to indigenous communities. The Sustainable Eco-Tourism Project in the Puerto Princesa Underground River Area implemented by TagBalay Foundation, on the other hand, ensures the preservation of the Puerto Princesa Underground River toward developing new tourism sites as well as training members of surrounding barangays in eco-tourism management.
The two-year extension of the program is expected to yield additional alternative livelihood for about 17,000 beneficiaries including farmers and fisher folks through forest conservation and reforestation activities, sustainable and integrated agricultural practices, better coastal resource management, and more eco-tourism opportunities. (DOF PR)
