Manila: The Philippines and the United Kingdom are on the verge of finalizing a government-to-government (G2G) partnership, which would grant the Philippines access to a 5-billion-pound funding facility from the UK Export Finance (UKEF). This development was confirmed by British Ambassador to the Philippines, Laure Beaufils.

According to Philippines News Agency, Beaufils, during a media reception at her residence, disclosed that a memorandum of understanding (MOU) is currently being finalized to activate the UKEF funding. This funding is poised to support key infrastructure projects across the Philippines, addressing existing procurement challenges. The MOU is expected to be completed within the next three months.

Beaufils highlighted that the funding could be instrumental for the Marcos administration's infrastructure flagship projects, such as railways, ports, roads, and bridges. A key requirement for accessing the funding is that 20 percent of the contract value must be sourced from the UK.

The funding facility offers flexibility, with options such as bank loan support or guarantees, making it simpler for the Philippines to procure British products and services. "It's really about supporting British exports to the Philippines," Beaufils stated, emphasizing that the funding could take various forms to facilitate the purchase of British goods.

For a project to qualify for 100 percent financing, only 20 percent of British content is required. Beaufils also noted that the UKEF funding has seen an increase from 4 billion pounds in recent years, reflecting the growth in bilateral trade between London and Manila, which rose by 15 percent in 2024 to 2.8 billion pounds.