DFA: SoKor loan issue now a ‘closed matter’

The Department of Foreign Affairs (DFA) on Tuesday clarified that South Korea remains committed to advancing development cooperation with the Philippines despite earlier reports on the cancellation of a P28.7-billion infrastructure loan.

DFA spokesperson Angelica Escalona described the issue as a “closed matter,” saying Seoul had already issued a clarification reaffirming its support for the Philippines’ development goals.

“Korea has reassured their support for advancing development cooperation with the Philippines,” Escalona said in a Palace press briefing.

The remarks came more than a month after South Korean President Lee Jae-myung’s announcement in September 2025, canceling a proposed modular bridge project loan due to alleged corruption risks.

The issue stirred speculation over its potential impact on bilateral relations.

The Department of Finance previously clarified that no such loan agreement currently exists, and the modular bridge initiative is now being pursued under a new partnership with France.

Escalona also confirmed that President Ferdinand R. Marcos Jr. will attend the APEC Summit in South Korea from 31 October to 1 November, where he is expected to promote the Philippines’ economic and artificial intelligence strategy that envisions an “Artificially Powered Philippines by 2028.”