Makati Subway project gets boost

https://tribune.net.ph/wp-content/uploads/2019/10/subway.mp4 The local government of Makati City on Tuesday said that the Makati Subway project has been awarded an additional $322 million funding for its construction from Chinese investors.

According to Makati Mayor Abby Binay, Chinese investment firms Hui Gao Investments Development Ltd. and Shanghai Mintu Investments Ltd. committed to give funding for the 10-kilometer underground railway system.

They signed the investment agreement on Monday and Binay noted that the two Chinese firms are partners of the Philippine Infradev Holdings, Inc. — the lead private sector proponent of the Makati subway.

Hui Gao Investments Development Ltd. will provide $102 million which will serve as equity investment, and $200 million in the credit facility, while Shanghai Mintu Investments Ltd. pledged a $30 million direct equity investment in Makati City Subway Inc. — the company that will construct and operate the underground railway.

Binay disclosed that the initial funding for the subway is now about $500 million.

“The Makati subway project is definitely gaining momentum, and we’re confident that our lead partner Philippine Infradev Holdings will be able to sustain the pace and finish the project on schedule,” said Binay in a statement.

The local chief executive noted that the Makati subway project will provide 10,000 jobs in the construction and the operation of the railway as it is set to operate by 2025.