EU grants, guarantees to support green transition, Mindanao dev’t

THE Department of Finance (DoF) said new investments in green transition, circular economy, environmental protection and in Mindanao development will be backed by European Union (EU) grants and guarantees.

“New investments in key areas, like green transition, circular economy, environmental protection, Mindanao’s development, and prospective loan financing will be supported with EU grants (blended finance) and EU guarantees to de-risk upfront the investment,” the DoF said in a statement on Tuesday.

The announcement followed the fifth meeting of the EU–Philippines Sub-Committee on Development Cooperation in Brussels on Nov. 25, where both sides reaffirmed shared interests under their Partnership and Cooperation Agreement.

The sub-committee conducted a comprehensive review of key ongoing cooperation programs, primarily on the Mindanao peace process and good governance, and the green and digital economy.

“The roles of the European Investment Bank (EIB) and other European Development Finance Institutions (EDFIs) — in a Team Europe approach — will be crucial, alongside potential cooperation with multilateral development banks, in particular with the Asian Development Bank,” it said.

The DoF said the talks covered prospective future cooperation on the sustainable use of critical raw materials and green finance. — Aubrey Rose A. Inosante