Pasay City: Australia's development support to the Philippines will continue even after the country attains upper-middle income country (UMIC) status, Ambassador HK Yu announced. As one of the Philippines' significant sources of official development assistance (ODA), Australia's aid comprises grants and concessional loans aimed at promoting social and economic development.
According to Philippines News Agency, the Philippines is on track to graduate to an upper-middle income status, which traditionally results in losing some ODA privileges. However, Ambassador Yu highlighted that Australia continues to provide similar assistance to many countries already classified in this category. Speaking at the Foreign Service Institute Ambassadors' Lecture Series in Pasay City, Yu expressed confidence in finding ways to ensure the continued collaboration between the two nations to support the Philippines' economic and social development.
Australia's bilateral ODA to the Philippines is substantial, amounting to approximately PHP3.3 billion annually, marking it as one of the largest aid programs Australia offers globally. This financial support is in addition to regional ODAs and other non-ODA assistance initiatives impacting the country. In 2024, a new development partnership plan was launched with Manila, offering a structured framework to identify areas where Australian support could best enhance the Philippines' development goals.
The development partnership plan encompasses various multi-year programs. These include a PHP2.4-billion peace and security initiative in Mindanao, a PHP1.5-billion program focused on social protection, gender equality, and inclusion, a PHP1.04-billion disaster response and management initiative, and a PHP731-million fair justice program aimed at reforming the Philippine justice system and safeguarding human rights.
Yu emphasized that the initiatives under this framework are significantly advancing the Philippines' development and growth. She assured that despite reaching UMIC status, the partnership between Australia and the Philippines would continue to evolve and expand.
