The World Bank on Friday announced it has approved a multi-million dollar loan to finance a flagship infrastructure project of the Philippine government aimed at improving broadband connectivity across the country.
In a statement, the Washington-based multilateral lender announced that its Board of Executive Directors has approved $287.24 million in funding for the Philippine Digital Infrastructure Project (PDIP).
Chaired by the President, the National Economic and Development Authority (NEDA) Board approved the P16.1-billion PDIP in late June.
The project, an initiative of the Department of Information and Communications Technology (DICT), involves the construction of a public broadband infrastructure network.
This network comprises five major components, namely the backbone network, middle-mile network, access network (last-mile), network security, and project management support.
The World Bank said more than 20 million Filipinos will benefit from better internet connectivity through the PDIP.
“A robust broadband connectivity infrastructure is not just a technological necessity; it’s an essential cornerstone for the Philippines to boost growth and attain its goal of becoming an upper middle-income country in the next couple of years,” said Manuela Ferro, World Bank vice president for East Asia and Pacific.
“Bringing greater internet access to the grassroots can bridge the digital divide, empower communities, and unlock the full potential of the digital economy,” said Ferro.
The lender said the PDIP will complete the remaining parts of the national fiber backbone—connecting the two main international landing stations in Baler (Luzon) and Davao City (Mindanao).
The national fiber optic backbone refers to a network of high-capacity fiber optic cables that interconnect different regions of the country.
This network serves as the principal data highway for intra-country communications, carrying large amounts of data at high speeds.
“Improved internet access will help all Filipinos, especially those in remote areas of Mindanao, gain better education, healthcare, social protection, and government services,” said Zafer Mustafaoglu, World Bank country director for the Philippines, Malaysia, and Brunei Darussalam. —VBL, GMA Integrated News
