DOF says ADB funds will cushion crisis impact
The Philippines will use $1.5 billion (around P90.8 billion) in financing pledged by the Asian Development Bank (ADB) to fund government measures aimed at cushioning the economic impact of the Middle East crisis, the Department of Finance (DOF) said Tuesday.
In a press release, the DOF said the financing will support the government’s Assistance for Greater Resilience and Alleviation of Poverty (AGAPAY) program, which funds interventions under the Unified Package for Livelihoods, Industry, Food, and Transport (UPLIFT).
“AGAPAY will help the government sustain its response to the economic impact of the Middle East crisis and fund measures that support vulnerable sectors, protect livelihoods, and help Filipino families cope with these challenges,” Finance Secretary Frederick Go said.
Approved by the ADB on 24 September 2026, the $1.5-billion financing program is intended to help the Philippines cushion the economic impact of the Middle East conflict through targeted household assistance, fuel and electricity subsidies, agricultural support, transport aid, and assistance for repatriated overseas Filipino workers (OFWs).
ADB earlier said the financing would help protect households from rising prices and sustain essential public services amid the conflict. It will also help secure fuel supplies, keep food and medicines affordable, and support people affected by higher costs and supply disruptions.
The package includes assistance for OFWs affected by the crisis, including efforts to bring workers home and provide support upon their return.
“Every week this crisis continues to ask more of people who have little left to give,” ADB President Masato Kanda said.
“They have a right to expect that the institutions serving them will meet their struggle with equal resolve. With this financing, we are backing the Philippines’ determination to keep its people secure and its future within its own hands,” he added.
ADB is providing the support through its Countercyclical Support Facility, a region-wide crisis-financing mechanism.
The Manila-based multilateral lender cited the Philippines’ vulnerability to the broader Middle East conflict because of its heavy reliance on oil and fertilizer imports from the region. It earlier described the country as among those hardest hit by the global energy shock.
The lender also noted that 1.1 million OFWs were deployed to the Middle East in 2025 and sent home around 18 percent of the Philippines’ total $35.6 billion in remittances that year.