BSP approves ¥23-B loan to improve fiscal management

The central bank has approved a Finance department plan to borrow ¥23.05 billion (about P12 billion) from the Japan International Cooperation Agency (JICA) to enhance fiscal management. The first loan is worth ¥9.22 billion, payable in 30 years with a 10-year grace period, while the second amounts to ¥13.83 billion due in 15 years, inclusive of a three-year grace period. "That’s both for budget support and part of program loans of the Department of Finance, which will be the implementing agency," Finance Undersecretary Rosalia V. de Leon said in a phone interview on Monday. "The significance of this is that we can disburse the funds already," she added. JICA officials were unavailable to give more details. In February, the central bank approved the borrowing plan in principle. The Asian Development Bank (ADB) will also extend a $100-million loan for the same project. — BusinessWorld