The Philippines and Sweden formalized a government-to-government partnership on November 22, 2024, signing a Memorandum of Understanding (MOU) to enhance collaboration on sustainable development projects.
Finance Secretary Ralph G. Recto and Swedish Minister for Infrastructure and Housing Andreas Carlson signed the MOU, cementing cooperation on renewable energy, sustainable infrastructure, public transport, and waste management.
“I am proud to take our collaboration to the next level,” Recto said. “We entered another agreement that will enhance the economic security of Filipinos through increased access to Swedish financing for our development initiatives.”
The agreement will allow the Philippines to access grants, technical assistance, concessional official development assistance, and blended financing from Sweden. High-priority projects under this framework include the EDSA Busway Project, the Iloilo Bus Rapid Transit, and the Subic-Clark-Manila-Batangas Railway.
Carlson emphasized Sweden’s commitment to strengthening partnerships amidst global challenges. “The Philippines is one of the very important partners in the world,” he said.
The partnership includes technical expertise and innovative solutions from Swedish institutions such as Swedfund International AB and the Swedish Export Credit Corporation, which will ensure the long-term success of the projects.
Recto highlighted the presence of major Swedish companies, including the world’s largest IKEA store in the Philippines, as a testament to Sweden’s confidence in the Filipino people.
“With this broad range of development areas, Sweden is certainly one of the Philippines’ strongest poverty-fighting allies,” he said, adding that the Department of Finance will ensure the effective implementation of the projects.
The agreement reflects both nations’ dedication to sustainable development, aiming to transition to a greener and more inclusive economy for Filipinos.