Official dev’t assistance loan triples in 4Q 2014
MANILA, Philippines – Projects and programs funded through Official Development Assistance (ODA) improved as the disbursement in the fourth quarter 2014 tripled from the same period in 2013, the National Economic and Development Authority (NEDA).
All absorptive capacity indicators registered favorable performance. This includes the disbursement level, disbursement rate, availment rate, and the disbursement ratio, said NEDA Monitoring and Evaluation Staff (MES) Director Roderick M. Planta.
The disbursement level, which is the actual expenditure or drawdown of ODA-funded projects and programs, increased to $1.62 billion in the last quarter of 2014 from $546.36 million during the same period in 2013.
Such improvement was attributed to higher actual loan drawdown (or disbursements) from 13 program loans amounting to $1.1 billion – from $182.60 million in the fourth quarter of 2013, the NEDA-MES report stated.
The disbursement rate, or the actual disbursement level as a percentage of target disbursement for the year, had an 18-percentage-point increase to 68.3% in 2014 from 50.3% in 2013.
Though this was below the acceptable 70% threshold, for a satisfactory financial performance for a given year, the disbursement rate was a significant improvement compared to 2013 figure, NEDA said.
The availment rate, or the percentage of loan amount’s actual utilization against loan schedule, also improved and still exceeded the threshold at 77% in the fourth quarter of 2014 from 73% of the previous year.
Furthermore, the disbursement ratio or the actual drawdown as against the available net loan amount, improved by 12.3 percentage points, from 9.3% during the last quarter of 2013 to 21.6% in the fourth quarter 2014.
The increase was due to the entry of about $2.04 billion worth of new program loans, but almost half of which was disbursed within the year, NEDA added.
The overall net commitment for ODA-assisted projects and programs increased by $3.18 billion in fourth quarter of 2014 or $11.29 billion from $8.11 billion in last quarter 2013.
The net commitment consists of 13 program loans amounting to $4.09 billion and 62 project loans amounting to $7.21 billion. The infrastructure sector had the largest share (40.2%).
The World Bank was the biggest source of loans, with a 39.5% share amounting to US$4.46 billion.
The Japan International Cooperation Agency (JICA) came second with $3.41 billion (30.2%).
Third was the Asian Development Bank with $2.23 billion or 19.8%.
The total assistance from the 3 sources of loans amounting to $10.10 billion comprised 89% of the total 2014 portfolio. – Rappler.com