BAGUIO CITY – The Baguio City government and the Development Bank of the Philippines (DBP) formally entered into a loan agreement for the provision of a P10 billion credit facility to finance major city development projects including the re-development of the city’s public market, road safety, and others vital in achieving the present administration’s goal of establishing a better Baguio in the future.
The loan agreement was signed by Mayor Benjamin B. Magalong representing the city government and DPB chairman former Senator Alberto G. Romulo who represented the bank during simple ceremonies conducted at the City Hall multipurpose hall last Monday.
Some P4.3 billion of this loan is to be used by the city government for the implementation of the proposed re-development of the city’s public market while the remaining amount will be earmarked for the other major projects of the city geared towards improving road safety and its tourism landmarks.
In his message to city officials, Romulo said that the DBP Board of Directors approved the provision of the credit facility to the city government as proposed which indicates the bank’s confidence on the city as its partner in the implementation and realization of its development projects geared towards improving the prevailing economic activities and sources of livelihood of the people in the city.
He narrated his memories of Baguio during his younger years when his family frequented the city to spend a well-deserved break, and that among his favourite places to visit were the public market and the scenic and historic Burnham Park.
According to him the DBP board did not have problems in approving the credit facility for the city government because it is the second top depositor of its Baguio branch and that it is one of the well-to-do city governments having a credible financial standing.
Earlier, the Land Bank of the Philippines provided the city government with a P5.5 billion credit facility for financing the same projects that will include the construction of pay parking buildings, among other related development projects beneficial in uplifting the status of the city.
The city government is eyeing options to finance its major development projects, particularly the re-development of the public market that will range from the acquisition of loan from credible financial institutions, turnkey option, joint venture and partnerships with established market cooperatives.
The re-development of the city’s public market has been a long-standing project of the previous and present administrations to improve the state of the market facility to be at par with the developed markets in neighboring first class municipalities in northern Luzon.
The city’s public market is the show window of the city tourism industry, being the most frequented place by residents and visitors.
By Dexter A. See
