ADB's airport loan to RP

ADB's airport loan to RP

MANILA (AFP): The Asian Development Bank (ADB) has approved a
US$41 million loan to the Philippines to upgrade an airport in
the major southern city of Davao, the Manila-based lending
institution said yesterday.

The European Investment Bank is co-financing the project with
a $31.3 million loan.

The government is hoping the project will enhance the southern
center's business, finance, tourism and trade links with
contiguous areas of Brunei, Indonesia and Malaysia which the four
countries are promoting as a growth corridor, an ADB statement
said.

The 25-year loan will have an interest rate based on the ADB's
pool-based variable lending rate, currently at 6.68 percent per
annum.

It comes with a $592,000 technical assistance grant for
advisory services to help the government in the project to
improve airport infrastructure, enhance aviation safety and
remove infrastructure constraints, among others.