Manila Bulletin writer Krizette Laureta Chu slammed the presidential candidate who made a commitment to continue the Duterte admin’s Build Build Build program.
Chu is critical of PPP because of several reasons. 1. it is an oligarch-controlled projects. 2. the government will incur debt of gratitude to businessmen. 3. the businessmen will dictate the terms 4. many of them will also serve as the project implementers.
Chu said ODA-driven (Overseas Development Assistance) Build Build Build program is better than PPP because the terms of loan is very favorable to the government like long grace period before the government starts paying and low interest rates for over a long period of time.
But, he/she will prefer PPP (Public-Private Partnership) over ODA (Overseas Development Assistance) so that the government will stop taking in debts. The presidential candidate said to ensure success PPP, he/she will make sure to put government in order first so that more and more investors will have faith in government.
That is why ODA is more like an aid than a loan, Chu argued. This also explains why the Duterte government has only 5% PPP of its Build Build Build projects.
Chu also added that only a small portion of our Build Build Build projects are linked with China so their concern that China will use it as a sovereignty issue is baseless.
You may now read Chu’s original FB post.
Ang MEMA ng mga kandidatong pipili ng PPP over ODA.
MEMA!!!! with PPP, It’s your usual oligarch controlled infra. Utang na loob sa mga negosyante. Tapos terms pa nila ang masusunod. MANY OF THEM, sila ANG gagawa.
Samantalang ang ODA, they will give you a long grace period before you start payment, then you will pay a very very low interest, ang alam ko even as low as 5 percent, over a period of 30 years na parang PAG IBIG, na the inflation will pay for it.
Kaya nga ODA kasi it’s more like an aid than a loan.
KAYA NGA only 5 percent of our BBB is PPP kasi better ang ODA.
Hindi naman China pinaka malaking nagpautang sa atin if they’re going to use it as a sovereignty issue.
Naku tabi ang mga Presidential candidates, AKO ANG MAKIKIPAG DEBATE
Former Assistant Secretary for Communications and Commuter Affairs of the Department of Transportation and Communications Goddes Hope Libiran wrote a lengthy comment to further enlighten netizens why Chu was correct that ODA is better than PPP.
It will be academically enlightening for the Memas to review the loan terms of our current railway projects, where it may be of interest for them to learn that principal debt payments for most of these projects will not even start until after 12 years. For example— the JAPAN (JICA) ODA loan for the Metro Manila Subway and MRT-3 Rehabilitation Projects have a grace period of 12 years. It is payable over 40 years, with a concessionary interest rate of 0.1% per annum. This means the government will not start paying for the principal borrowed for these projects until the 12th year, when the projects are already completed, operational, and benefitting the public.And for the record, you are correct KLC Happy Thoughts and Cellphone Repair, in saying that China is not our primary source of ODA financing. As far as DOTr railway projects are concerned, number 1 ang Japan, followed by the Asian Development Bank, then China is third.
@justined1_ VP Leni on Build Build Build, Comelec Presidential Debate broadcasted by GMA Public Affairs #lenikiko2022 #lenirobredo #comelecdebate2022 #eleksyon2022 #letlenilead ♬ Rosas – Nica del Rosario