The Department of Finance (DOF) has secured French concessional funding worth 250 million euros, or about P15.79 billion, through the Agence Française de Développement (AFD) to help accelerate the Philippines’ climate action.
In a statement, the DOF said the ceremonial exchange for the Climate Change Action Plan, Subprogram 2 (CCAP2), was formally executed between Finance Secretary Ralph Recto and French Ambassador to the Philippines Marie Fontanel on Monday, June 2.
“This 250-million euro concessional financing agreement from France is a vote of confidence in the Filipino people and our shared vision of a greener, safer and more resilient future,” Recto said during the event.
“With this agreement, we strengthen our strategic cooperation on climate action, reinforce our institutional capacities, and accelerate the delivery of real, lasting change—especially for the most vulnerable,” Recto added.
Together with AFD, the CCAP2 is co-financed by the Asian Development Bank (ADB) (449.12 million euros, or about P28.36 billion) and the Japan International Cooperation Agency (35 billion yen, about P13.3 billion).
The DOF said CCAP2 builds on the achievements of CCAP1 to support the Philippines in achieving its Nationally Determined Contribution commitments and in its efforts to assist vulnerable sectors in the transition to a resilient, low-carbon economy.
CCAP, or Climate Change Action Plan, comprises three subprograms that support various climate-related policy reforms in the following areas: strengthening planning, financing, and institutional linkages for climate action; enhancing resilience to climate impacts; and strengthening low-carbon pathways.
CCAP1 was implemented from January 2020 to March 2022 and supported by a $250 million (about P13.9 billion) financing from the ADB and 150 million euros (about P9.47 billion) of funding from the AFD.
“France and the Philippines stand once again united in their commitment to address the urgent challenges of climate change, environmental degradation, and ocean protection,” Fontanel said during the ceremonial exchange.
“I would like to commend the government of the Philippines for its leadership and resolve in tackling those global issues,” she added.
“As a development partner, we are proud to be a part of this effort and to be working at the policy level. We firmly believe that working on systemic change is essential to meet the scale and urgency of today’s climate challenges,” AFD country director Benedicte Gazon said.
The AFD is a public financial institution that implements French government policy, working to combat poverty and promote sustainable development.
Recto assured the French government that the Philippine government is committed to implementing the program with urgency and integrity.
“We will ensure that every euro invested, and every collaboration, will translate to meaningful impact on the lives of ordinary Filipinos,” Recto said.
