The United States will provide $500 million in foreign military financing to the Philippines, aimed at enhancing the country’s defense capabilities and supporting military modernization efforts.

The announcement was made by US Secretary of State Antony Blinken in a press conference following the 4th Philippines-US 2+2 Ministerial Dialogue at Camp Aguinaldo in Quezon City on Tuesday afternoon.

“Our armed forces are collaborating on shared priorities across more locations than ever before. We are now allocating an additional $500 million in foreign military financing to boost security cooperation with our oldest treaty ally in the region,” Blinken said.

He also highlighted that the US and the Philippines are working on “new steps” to further strengthen their alliance.

“This is a once-in-a-generation investment to modernize the Philippine armed forces and coast guard. It represents our first bilateral security sector assistance roadmap and doubles our investments under the Enhanced Defense Cooperation Agreement,” Blinken added.

US Defense Secretary Lloyd Austin III echoed this sentiment, emphasizing that the investment will significantly advance the modernization of the Armed Forces of the Philippines and the Philippine Coast Guard.

“We’re working with the US Congress to allocate $500 million in foreign military financing. This unprecedented level of funding underscores the strong support for the Philippines by the Biden-Harris administration, Congress, and the American people,” Austin said.

He also underscored the strong partnership and longstanding friendship between the two countries, enriched by the substantial Filipino-American community in the US.

“We’re working to advance our shared vision of a free and open Indo-Pacific. Together we’re taking bold steps to strengthen our alliance,” Austin noted.

Additionally, Austin revealed that this year’s budget request by US President Joe Biden includes over $128 million for important Enhanced Defense Cooperation Agreement (EDCA) infrastructure projects.

“This investment extends beyond the Department of Defense,” Austin explained. “It includes USAID plans to pre-position disaster relief supplies at an EDCA location later this year, allowing us to work alongside our Philippine allies to quickly provide humanitarian assistance in times of need.”

Marcos welcomes top US officials

Earlier in the day, President Ferdinand Marcos Jr. told Blinken and Austin that the increased cooperation between Manila and Washington has led to more open lines of communication and tangible results in the West Philippine Sea.

The Chief Executive made the remarks after he welcomed the two high-ranking officials in Malacañang on Tuesday for the first-ever two-plus-two meeting.

The meeting comes amid heightened regional tensions, with China’s aggressive actions in the West Philippine Sea drawing international condemnation.

The Philippines has repeatedly asserted its sovereign rights over the disputed waters and has sought closer cooperation with allies and partners, specifically the United States.

“Welcome back to the Philippines and I’m always very happy that these communication lines are very open so that all the things that we are doing together, in terms of our alliance, in terms of the specific context of our situation in the West Philippine Sea and in the Indo-Pacific are continuously examined and re-examined so we are agile in terms of our responses,” Marcos said.

At the start of the meeting, Marcos said he was “a bit surprised” to see the two secretaries given how “interesting” the US political situation has become.

He was referring to US President Joe Biden ending his reelection campaign this month and endorsing Vice President Kamala Harris to take on former President Donald Trump in the November election.

Blinken extended greetings from Biden and Harris to Marcos.

“It’s, I think, really evidence of a steady drumbeat, a very high-level engagement between our countries that is covering the full range of issues and opportunities that bring us together, not only security but also economic, and we’re truly grateful for this partnership,” Blinken told Marcos.

“We look forward to a very good day with our colleagues and to further advancing the critical work that we’re doing together,” Marcos said.

Phl defense priorities

Defense Secretary Gilberto Teodoro Jr. said the priorities under the US’ $500-million foreign military financing will be detailed in the security sector assistance roadmap.

“We will focus on enhancing our inherent capabilities, including cyber capabilities and other critical areas,” Teodoro said.

He emphasized that these investments, along with EDCA projects, are essential for securing the Philippines’ credible deterrent posture.

“Every dollar spent on strengthening Philippine defense capabilities helps in deterring unlawful aggression, whether it comes from China or any other threat actor,” Teodoro said.

He also highlighted that the EDCA investments are designed not only for defense but also for civil defense purposes, such as humanitarian assistance and disaster response.

“These investments are multi-dimensional and will enhance joint cooperation, interoperability between the US and the Philippines, and collaboration with like-minded nations,” Teodoro added.

He pointed out that last year, both nations agreed to expand the EDCA facilities to boost the operational tempo of the Philippines, addressing the urgent need for humanitarian and disaster response initiatives.