MANILA, Dec. 11 (Xinhua) -- The Asian Development Bank (ADB) said Thursday it has approved a 500-million-U.S.-dollar policy-based loan to support the sustainable management of the Philippines' marine ecosystems, help rejuvenate coastal areas, and foster a vibrant, resilient, and low-carbon blue economy.
The Marine Ecosystems for Blue Economy Development Program (Subprogram 1) seeks to strengthen the productivity and diversity of the country's ocean-based economy and improve the health and adaptability of coastal areas and communities.
The project also aims to enhance the value chain for plastic and solid waste management and to promote investments in the country's natural capital. These efforts will ensure long-term ecological and economic resilience and protect millions of Filipinos from the worsening impacts of climate change.
"More than half of the Philippine population is dependent on the country's oceans and rich marine biodiversity for food and livelihoods, with the blue economy having great potential to be central to attaining inclusive, resilient, and low-carbon development," said ADB Philippines Country Director Andrew Jeffries.
This is ADB's first extensive cross-sector program focused on fostering national blue economy development in the region, he added.
In national statistical accounts, the blue economy includes fisheries, manufacturing of ocean-based products, tourism-related services, shipping, and offshore energy.
In 2024, key blue economy sectors contributed 1.01 trillion pesos (about 17.17 billion dollars) to the country's economy, equivalent to 3.8 percent of gross domestic product.
However, marine ecosystems are increasingly under threat from unsustainable practices, including plastic and solid waste pollution, as well as the severe effects of extreme weather changes.
The world's second-largest archipelagic nation is hit by at least 20 typhoons annually, and cyclones have become fiercer in recent years. Two strong typhoons struck the country within a week in November, leaving hundreds of casualties and millions of dollars in property damage due to flash floods and storm surges.
Agence Francaise de Developpement and Germany's KfW Development Bank will provide cofinancing of up to 200 million euros (about 235 million dollars) each for subprogram 1. ■