THE Cebu International Container Port project has received approval for a soft loan from the South Korean government and is set to be completed by 2020, the Seatrade Maritime News of Colchester, UK, reported citing local reports.
The PHP9.2 billion (US$182.1 million) project will receive PHP8 billion in funding from South Korea through its official development assistance (ODA) programme, while the remaining PHP1.2 billion will be provided by the Philippine government.
![S Korea extends financial help for construction of new Cebu]( "S Korea extends financial help for construction of new Cebu")
Finance Assistant Secretary Maria Edita Tan of the Philippines was quoted as saying the Export-Import Bank of Korea (Kexim) had approved the New Cebu International Container Port as one of the projects it would finance through ODA.
The South Korean government, through Kexim, has offered a total of $1 billion in concessional loans over a six-year period to finance key infrastructure programmes in the Philippines.
The National Economic and Development Authority (NEDA) had approved the proposal to build the port, which will be in Consolacion, slightly to the north of the current port. Manila and Seoul are set to finalise the framework for the loan agreement in August.
The project is expected to lessen the congestion in the existing Cebu International Port in Cebu City and reduce vessel waiting time. The port is to be built on a reclaimed 25-hectare island and will almost double the container yard capacity from 7,373 TEU to 14,400 TEU.