Japan PM Abe pledges $8.7 billion worth of investments to Philippines

In an effort to strengthen ties with nations in the Asia-Pacific region, Prime Minister Shinzo Abe has pledged an $8.7 billion worth of aid package to the Philippines over the next five years.

ABE AND DUTERTE. Japan Prime Minister Abe is here in the Philippines as part of his week-long nation tour. Image grabbed from Japan Times

This aid package (1 trillion yen), includes government aid and public investments such as infrastructure development, Japanese newspaper Mainichi reports. These opportunities will be created with the help of Official Development Assistance and private sector investments. Both PM Abe and President Duterte witnessed the signing of agreements which includes a 600 million yen ($5 million) Japanese grant for counterterrorism equipment and boats for the coast guard of the Philippines.

PM Abe has also said that he will help “formulate treatment programs and improve facilities,” in relation to Duterte’s war on illegal drugs.

The Philippines is the first country to be visited by PM Abe in his week-long tour, as he is also set to visit Australia, Indonesia, and Vietnam. Abe is also set to visit Duterte’s hometown in Davao, where the latter is expected to host breakfast. This makes PM Abe the first national leader to set foot in Duterte’s home.

In a toast for Japanese leader on Thursday, Duterte has mentioned that Japan is a friend closer than a brother. “Japan deserves its own rightful place in the constellation of the Philippines’ friends,” added President Duterte.

Source: PhilStar, Mainichi, Bloomberg