I. INTRODUCTION
1. At the request of the Government of the Republic of the Philippines, the Asian Development Bank (ADB) fielded a Fact-Finding Mission during May–July 2007 to initiate a project preparatory technical assistance (PPTA)1 for preparing a basic urban services sector project for the Philippines. The Mission held discussions with Government officials representing the Department of Finance (DOF), Department of the Interior and Local Government (DILG), National Economic and Development Authority (NEDA), Department of Budget and Management (DBM), and various government financial institutions, e.g., Development Bank of the Philippines (DBP), Land Bank of the Philippines (LBP), and the Municipal Development Finance Office (MDFO). The Mission visited the cities of Cabucgayan, Biliran; Iriga, Camarines Sur; Legaspi and Ligao, Albay; Juban, Sorsogon, and Tacloban, Leyte,2 and held discussions with officials of local government units (LGUs). Follow-up meetings were held with DOF and an understanding was reached on the objectives, scope, cost estimates, and implementation arrangements for the TA.
2. The proposed Philippines Basic Urban Services Sector Project (PBUSSP) builds on the success and results of the ongoing Loan 1843-PHI: Mindanao Basic Urban Services Sector Project (MBUSSP),3 which is being implemented in 40 LGUs and has demonstrated good performance during the last 2 years.
2. The proposed Philippines Basic Urban Services Sector Project (PBUSSP) builds on the success and results of the ongoing Loan 1843-PHI: Mindanao Basic Urban Services Sector Project (MBUSSP),3 which is being implemented in 40 LGUs and has demonstrated good performance during the last 2 years.
II. ISSUES
3. Growth and Importance of Urban Areas. The Philippines is one of the most rapidly urbanizing countries in Asia. In 1980, its total population was 48 million and 37.2% was urban. Twenty years later, in 2000, the population was 76.5 million with an urban population of 48.1%. The total population is projected to reach 94 million by 2010 and 128 million by 2030, with the urban population constituting 60% in 2010 and 75% in 2030.4 The regional distribution of the population is 56% in Luzon, 24% in Mindanao, and the remaining 20% in Central Philippines. Rapid urbanization, which contributes to 85% of the total gross national product (GNP), is putting constraints on the ability of the country to provide adequate infrastructure, social services, and suitable urban environmental infrastructure, particularly water supply, and sanitation and solid waste management services. While official data indicates that only about 20% of the 7.5 million urban households fall below the poverty income line, poverty data alone does not capture the dire situation of the urban poor, many whom live as informal settlers and suffer from lack of access to infrastructure services.
Read the report here
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| Mandaluyong, Metro Manila, image by Storm Crypt |
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