The Philippines abandons China-funded Mindanao railway project The Philippine Ministry of Finance sent a letter to the Chinese Embassy in the Philippines on October 26, saying that the Philippines does not want Chinese money anymore and wants to abandon the first phase of the Mindanao railway project. The project, which is part of the Philippines' former Rodrigo Duterte's "Build Build, Build Big" program, is more than 100 kilometers long, stretching from Tagon to Davao to Digos.
"We have discussed with the Department of Transportation, and the Philippines does not intend to ask China for official development assistance to build the first phase of the Mindanao Rail Project," the Philippine Treasury Department said in the letter. ”
Philippine media reported that a senior economic ** of the Philippine side revealed that China's senior economic ** told them that China is worried about "geopolitical factors" affecting the financing of infrastructure construction in the Philippines. Although the transportation secretary, Mr. Bao Zhisi, did not acknowledge the news, but said, "China has little interest in building infrastructure for the Philippines." ”
Mindanao Railway Project in the Philippines Source: "Silk Road Briefing".
With the exception of the Mindanao rail project, several other railway projects that China promised to fund failed to begin because the money had not yet been paid.
"We try to communicate with China. We asked them to tell us by the end of this month if they could still pay for the projects we started last time – including the Mindanao Railroad, the Subic-Clark Railroad, and the Philippine National Railways South Long-Distance Railway. ”
He said the Philippines was looking for other possible funders to help the stalled rail projects.
It has also been reported that the Philippines** does not expect to find a new funder for the first phase of the Mindanao rail project until the first quarter of 2024.
During the 2016 campaign, Duterte, who was then the Philippine candidate, said he would prioritize the Mindanao rail project. He said the project could be done if the Philippines could reach an agreement with China. He also said that if China could help him build a railway in the south, he would "shut up" about the South China Sea dispute.