At least nineteen million Filipinos are set to benefit from two newly approved projects by the World Bank’s Board of Executive Directors. These initiatives aim to enhance transport connectivity and health services in Mindanao and other low-capacity provinces across the Philippines.
World Bank's Commitment to Inclusive Growth
Zafer Mustafaoğlu, World Bank Country Director for the Philippines, Malaysia, and Brunei Darussalam, emphasized the World Bank's dedication to supporting the Philippines in its journey towards inclusive growth and its aspiration to become an upper middle-income country. "Initiatives that enhance transport connectivity and boost health services in low-capacity regions, particularly in Mindanao, can address regional disparities while enhancing the quality of life for many Filipinos," he stated.
Mindanao Transport Connectivity Improvement Project
The US$454.94 million Mindanao Transport Connectivity Improvement Project is designed to benefit at least 1.16 million residents along a key road corridor in Cagayan de Oro, Davao, and General Santos. This project aims to provide improved access to sustainable transport infrastructure and services. By reducing transportation costs and product losses for poor farmers, the project significantly contributes to poverty reduction.
Pratap Tvgssshrk, World Bank Senior Transport Specialist, highlighted the importance of making agriculture more productive, particularly for smallholder farmers. "Connecting rural and remote areas to urban centers where there is demand for farm produce is a key intervention to support growth in the agricultural sector," he noted.
The project will finance the rehabilitation and upgrading of a 428.2-kilometer main road corridor linking three major cities, which host key ports and airports in Mindanao. This road network comprises four highways—Sayre Highway, Bukidnon-Davao Highway, Digos-Makar Highway, and Davao-Cotabato Road—traversing six provinces, 14 municipalities, seven cities, and 168 barangays (villages). Additionally, the project will support the upgrading of three local roads connecting to the Cagayan de Oro – Davao – General Santos corridor, with a total length of 129.86 kilometers.
Philippines Health System Resilience Project
The US$495.6 million Philippines Health System Resilience Project will support government efforts to enhance climate-resilient healthcare networks, improve workforce and governance, and promote high-quality health services at the provincial level. It will also invest in disease surveillance, public health laboratories, and emergency response systems.
This project prioritizes seventeen provinces with low healthcare access capacity, benefiting 17.9 million people, including those in geographically isolated and disadvantaged areas. Eleven of these provinces are in Mindanao.
Wei Han, World Bank Senior Economist, pointed out the challenges faced by local government units (LGUs) due to limited resources and capacity. "This project is vital as it aims to empower these low-capacity LGUs to deliver high-quality health services, thereby driving socioeconomic progress through improved health outcomes for Filipinos," he explained.
The project also supports digital transformation, institutional strengthening, and capacity-building at both national and local levels for effective implementation.
These projects underscore the World Bank's commitment to fostering inclusive growth and addressing regional disparities in the Philippines. By improving transport connectivity and health services, the initiatives aim to enhance the quality of life for millions of Filipinos, particularly in underserved regions like Mindanao.
