Philippines Remains Unfazed by USAID Project Suspension, Seeks Alternative Funding

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Philippines Remains Unfazed by USAID Project Suspension, Seeks Alternative Funding
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The National Economic and Development Authority (Neda) states that the Philippines can secure alternative funding sources for projects affected by the temporary suspension of US Agency for International Development (USAID) projects.

The National Economic and Development Authority ( Neda ) remains unfazed by the temporary suspension of projects by the US Agency for International Development ( USAID ), asserting that the government can secure alternative grant sources to fund affected initiatives. While acknowledging the impact of the Trump administration's 90-day pause on USAID projects in the Philippines , Neda Undersecretary Rosemarie G.

Edillon emphasized that these projects predominantly involve technical assistance, which can be sourced from other development partners. Edillon stated that ongoing technical assistance projects are continuing despite the situation, with USAID staff providing input and support even outside of their official capacity. Neda Investment Programming Group Undersecretary Joseph J. Capuno confirmed that Neda hadn't received any official communication from USAID regarding the status of its projects in the Philippines. He expressed uncertainty about the specific effects of the recent Trump administration announcements. However, an industry source warned that the lack of funding from USAID could lead to project stagnation or even closure, resulting in work stoppages and operational difficulties. The source explained that without continued funding, projects inevitably grind to a halt. Neda provided BusinessMirror with a list of 33 active and new US-funded grant projects as of June 2024, with 28 projects funded by USAID. Three projects received funding from the US Trade and Development Agency (USTDA), while one each was funded by the US Center for Disease Control (CDC) and the US Health Resources and Services Administration (HRSA). Of the 33 projects, three were categorized as new and funded by USAID. These initiatives, focused on social reform and community development, are being implemented in Mindanao and the Bangsamoro Autonomous Region in Muslim Mindanao (BARMM). They include the BARMM Resilience Activity led by the Department of Health, and two flood relief assistance projects in Mindanao managed by the Department of Social Welfare and Development (DSWD) and the Office of Civil Defense.The 30 ongoing projects were classified under various sectors: 13 in Social Reform and Community Development (SRCD), six in Agriculture, Agrarian Reform, and Natural Resources (AARNR), five in Infrastructure Development (Infra), and three each in Industry, Trade, and Tourism (ITT) and Governance and Institutions Development (GID). The SRCD projects encompassed a diverse range of initiatives, including advanced manufacturing workforce development, basic education improvement, maternal and neonatal health innovations, and inclusive education for children with disabilities. Other notable projects included those focused on improving learning outcomes, providing second-chance education opportunities for out-of-school youth, expanding access to drug rehabilitation programs, and strengthening counter-trafficking efforts. The list also included projects like TIFA, UPSKILL, YouthWorks PH, PEPFAR programs, and QISSEC, all funded by various US agencies.The six AARNR projects, entirely funded by USAID, encompassed climate resilience initiatives, sustainable fishing practices, and partnerships for inclusive growth and regenerative ecosystems. The five Infrastructure projects included two USAID-funded initiatives focused on energy security and safe water access, and three funded by the USTDA

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