Philippines allows lenders to increase exposure to PPPs
The Monetary Board (MB) has announced that the additional 25 percent Single Borrowers’ Limit (SBL) available to banks and quasi-banks which can be tapped to finance Public-Private Partnership (PPP) projects has expired on 28 December 2016.
The SBL is intended to limit the credit exposure to a single client to a maximum of 25% of a bank’s net worth, as imposed by the BSP on its supervised entities starting 2004 in keeping with sound risk management.
According to the MB, sufficient feasible funding alternatives for PPP project proponents are already available in the market. The ceiling on borrowings includes loans, as well as securities underwritten by universal banks and investment houses unsold after 90 days.
Republic Act 10641 signed in July 2014 allowed the full entry of foreign banks in the Philippines, rationalizing the restrictions on lending to subsidiaries and affiliates of banks to support the financing of productive sectors and projects that form part of the priority programs under the Philippine Development Plan and the Public Investment Program.
Country news
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December 14, 2016
Philippine Stock Exchange releases rules for PPP listing firms
The Philippine Stock Exchange has issued the new listing and disclosure rules applicable to companies engaged in PPP projects, supporting the Philippines Government's efforts to sustain the country's economic growth through sustainable partnerships with the private sector for infrastructure development.
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December 01, 2016
Philippines’ NEDA approves several PPP projects
The Philippine National Economic and Development Authority (NEDA) Board has announced the approval of eight projects.
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December 01, 2016
Philippines signs NLEX-SLEX Connector Road PPP
The Department of Public Works and Highways (DPWH) and Manila North Tollways Corporation (MNTC) has signed the concession agreement on November 23, of the North Luzon Expressway-South Luzon Expressway (NLEX-SLEX) Connector Road Public-Private Partnership (PPP) Project.
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November 30, 2016
AlloyMTD and A Brown to submit unsolicited proposal for East-West rail in Manila
MTD Philippines, a subsidiary of infrastructure conglomerate AlloyMTD of Malaysia and A Brown Company (BRN) of the Philippines have announced that a consortium formed by both companies is to submit an unsolicited proposal for East-West rail PPP Project in Manila.
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November 24, 2016
NEDA approves new Nayong Pilipino PPP
The Philippine National Economic and Development Authority (NEDA) Board has announced it has approved the New Nayong Pilipino at Entertainment City Public Private Partnership (PPP) project after it was endorsed by the Investment Coordination Committee.
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