JICA has signed JPY377 billion ($2.86 billion) loan agreements with the Government of the Philippines to finance two commuter railway projects in the country.

Of the total amount, JPY107 billion ($814 million) will go toward North-South commuter railway project (Malolos-Tutuban) while the JPY270 billion ($2.053 billion) toward North-South commuter railway extension project. The loans have 40 years repayment period and 12 and ten years grace period, respectively.

The objective of the Malolos-Tutuban section is to strengthen the transportation network and decongest Metro Manila through the development of a new railway running from Malolos, Bulacan to Tutuban, Manila, thereby contributing to the expansion of Metro Manila’s economic sphere and the alleviation of air pollution.