The Department of Transportation (DOTr) has finalized the third tranche of loan financing with the Japan International Cooperation Agency (JICA) for the Metro Manila Subway project in the Philippines.

The anticipated loan agreement is valued at approximately PHP 55.91 billion (US$995 million). The Department of Finance (DOF) is currently examining the draft documents for the loan arrangement provided by JICA and the Government of Japan. Previously, JICA and DOTr entered into two loan agreements, amounting to PHP 47.58 billion (US$ 846 million) in 2018 and PHP 112.87 billion (US$ 2 billion) in 2022. The total cost of the Metro Manila Subway project is estimated at PHP 488.5 billion (US$ 8.6 billion). Within this total, PHP 370.7 billion (US$ 6.5 billion) will be funded through an official development assistance (ODA) loan from JICA, while the Government of the Philippines will contribute PHP 117.7 billion (US$ 2 billion).

The project involves the development of a 33-km long subway line connecting North and South of Metropolitan Manila, Philippines. The line has 17 stations and runs through Mindanao Avenue in Valenzuela City through the FTI in Taguig City ending at the Ninoy Aquino International Airport in Paranaque City. The metro project will connect Valenzuela City to Bicutan in Taguig, with 17 stations and a fleet of eight-car train sets that can take on over 2,000 passengers each. Once built, it can serve over 500,000 commuters every day.