US pledges P3B in new foreign aid to PH

The United States has pledged approximately P3 billion ($60 million) in new foreign assistance to the Philippines, the first such announcement to any country since the US paused most of its foreign aid commitments in January.

This funding, coursed through the US Department of State, will support programs in energy, maritime security, and economic growth in the Philippines.

The announcement was made by U.S. Secretary of State Marco Rubio after meeting with President Ferdinand Marcos Jr.

A portion of the aid, P825 million ($15 million), is earmarked to stimulate private sector development and investments in the Luzon Economic Corridor.

The Luzon Economic Corridor was launched by the Philippines, the US, and Japan in April 2024 to back development in Luzon, with the Subic-Clark-Manila-Batangas (SCMB) Cargo Railway as its flagship project.

The U.S. Department of State intends to seek congressional approval for these funds, which are expected to create jobs and foster long-term economic development in the Philippines.

This aid package signifies a strengthened commitment from the U.S. government to enhancing the alliance with the Philippines, especially in crucial sectors like infrastructure, energy, and private sector growth.