PH pushes new WB-IMF financing models for ASEAN
The Philippines is pushing for more flexible development financing and stronger private-sector investment to help Southeast Asian economies sustain growth, bridge infrastructure gaps, and create more jobs as financing needs evolve.
Finance Secretary Frederick D. Go advanced this agenda in two engagements on the sidelines of the 2026 Annual Meetings of the World Bank Group (WBG) and the International Monetary Fund (IMF) in Bangkok, Thailand, where the Philippines is representing ASEAN as chair of the finance track.
At the IMF managing director’s Strategic Dialogue with ASEAN authorities last week, Go called for modernized partnerships with multilateral development banks (MDBs), particularly to help countries transitioning to Upper Middle-Income Country (UMIC) status maintain development momentum despite changing financing needs.
“The Philippines highlights the importance of a modernized partnership with the IMF and the World Bank. This should expand access to flexible financing solutions for transitioning nations,” Go said.
He pointed to blended finance and enhanced credit guarantees as ways to attract private capital, reduce investment risks, and lower financing costs.
The Department of Finance (DOF) is also pursuing fiscal consolidation under the updated Medium-Term Fiscal Framework to expand fiscal space while protecting funding for high-impact public investments.
“Our fiscal discipline ensures we safeguard and fully fund high-impact public investments. We are focused on building economic foundations for long-term growth. We are strategically channeling capital into major strategic corridors, including the Luzon Economic Corridor, to strengthen the Philippines’ position within global value chains,” Go added.
Separately, the DOF convened the first-ever ASEAN Finance Ministers–World Bank Group Dialogue with WBG President Ajay Banga, bringing together regional finance ministers and representatives to identify areas for World Bank support and establish concrete next steps for cooperation.
Go called for stronger regional collaboration to mobilize private capital for quality infrastructure, accelerate artificial intelligence (AI) adoption and digital transformation, and secure affordable, reliable, and clean energy to generate more and better jobs.
“The World Bank Group can help ASEAN turn bankable ideas into investable projects, connect policy reforms with private capital, and share solutions across countries,” Go said in his opening remarks.
He cited Philippine reforms easing foreign ownership restrictions in sectors such as telecommunications, airlines, and renewable energy, as well as efforts to improve the investment climate and attract financing for infrastructure and strategic industries.
ASEAN members likewise sought deeper WBG engagement to close infrastructure and financing gaps, strengthen climate adaptation, improve the business environment, and generate employment. They highlighted the importance of guarantees, technical assistance, and capacity building.
Banga stressed that private investment is essential to meeting development goals amid constraints on public finances worldwide. He said private capital must complement — not replace — public financing, with government resources strategically deployed to attract and multiply investments.
The discussions support the Philippines’ broader ASEAN chairship agenda of advancing inclusive, resilient, and sustainable growth. Go also invited regional finance leaders and partners to Manila for the 49th ASEAN Summit in November, where member states are expected to pursue shared economic priorities.
No comments: