The government plans to use the nearly 9 billion pesos borrowed funds from Japan to bankroll its remaining obligations in responding to the financial difficulties brought about by the recent revert to lockdown.
Finance Secretary Carlos Dominguez said the government would deploy 8.7 billion pesos to deliver social amelioration program in affected communities in Metro Manila and surrounding provinces.
The Japanese government on June 8 approved the release of the amount, the third of its kind, under the Post-Disaster Standby Loan signed with the Philippines.
The Philippines and Japan signed a loan worth 23.3 billion pesos in September last year.
Dominguez had asked Tokyo to disburse the money to increase Manila’s working capital in responding to the summer resurgence in COVID-19 cases. The government distributed cash assistance up to a maximum of 4,000 pesos per family to residents of areas under lockdown in March.