World Bank2012-03-192012-03-192009-02-24https://hdl.handle.net/10986/3030Infrastructure needs in the Philippines must be addressed to ensure long term economic growth. After several years of fiscal pressure, the Philippines is now in a position to address these needs. Despite the current international financial situation, the country is now in a position to commit resources to improve transport infrastructure. To this effect, it is necessary to: i) make resource allocation more effective; and ii) improve governance in the coordinating departments and in implementation agencies. The suggested actions that follow address these two fundamental needs within four groups of recommendations. First, focus should be on improving infrastructure quality and service delivery. While the quantity of transport infrastructure in the Philippines in network and facility density compares well with other countries in the region, its capacity and quality does not. Some critical transport costs are higher in the Philippines than in its neighboring and competing countries. Second, the processes for allocating public resources could be improved. With additional public resources available, project preparation, planning and budget processes need to ensure that expenditures are well focused on areas that offer the best value for money in improving service quality. The government has taken important initiatives to achieve this end. But much remains to be done. The quality of multiyear planning and the quality of project preparation and selection in the annual budgetary process could be improved. Third, higher public spending on transport infrastructure will be effective only if accompanied by a program to confront institutional and policy distortions. In national budgeting and planning processes, this means improving the quality of planning documents and project appraisal and strengthening of prioritization in the national planning. Fourth, the private sector could be encouraged to continue its important role in transport infrastructure investment. Public resources alone will not meet the financing needs. In the mid-1990s the Philippines experienced a rich supply of proposals for private finance, mostly unsolicited. Often poorly coordinated with other facilities, these initiatives met with mixed success.CC BY 3.0 IGOACCIDENTSACCOUNTINGADBAFFORDABLE TRANSPORTAIRAIR NAVIGATIONAIR TRAFFICAIR TRANSPORTAIRCRAFTAIRCRAFT MOVEMENTSAIRPORT CAPACITYAIRPORTSALLOCATION OF RISKSAPPROPRIATIONSAUTONOMYBORDER CROSSINGBUDGET CONSTRAINTSBUDGET PROCESSCAPACITY EXPANSIONCAPITAL EXPENDITURECAPITAL STOCKCENTRAL BANKSCOMMERCIAL AVIATIONCOMMUTER LINESCONGESTIONCONSOLIDATIONCONSUMER PRICE INDEXCURRENT PRICESDEFICITSDEVOLUTIONDOMESTIC TRAFFICDOMESTIC TRANSPORTECONOMIC COMPETITIVENESSECONOMIC CRISISECONOMIC DEVELOPMENTECONOMIC GROWTHECONOMIC RECOVERYEFFICIENCY OF INFRASTRUCTUREEMERGING MARKET ECONOMIESEMPLOYMENTEXPRESSWAYSFATALITIESFINANCIAL CRISESFINANCIAL INSTITUTIONSFINANCIAL MANAGEMENTFISCAL DISCIPLINEFISCAL MANAGEMENTFIXED ASSETSFREIGHTFREIGHT FORWARDERSFUELFUEL PRICESFUEL TAXESFUNDS FOR ROADSGENERATIONGOVERNMENT BUDGETGOVERNMENT PLANSGOVERNMENT SPENDINGGOVERNMENT SUBSIDIESGROSS DOMESTIC PRODUCTGROWTH RATESHIGHWAYHIGHWAYSHOUSINGINCOME DISTRIBUTIONINFLATIONINFRASTRUCTURE ASSETSINFRASTRUCTURE COSTSINFRASTRUCTURE DEVELOPMENTINFRASTRUCTURE INVESTMENTINFRASTRUCTURE INVESTMENTSINFRASTRUCTURE PROJECTSINFRASTRUCTURE PROVISIONINFRASTRUCTURE SECTORINFRASTRUCTURE SERVICESINFRASTRUCTURE SPENDINGINTERNATIONAL AIRPORTINTERNATIONAL AIRPORTSINTERNATIONAL RESERVESINVENTORYINVESTMENT COSTSINVESTMENT PROGRAMLANDLORD MODELLIGHT RAILLIGHT RAIL SYSTEMSLIGHT RAIL TRANSITLOCAL GOVERNMENTLOCAL GOVERNMENTSLOCAL ROADSLOCAL TAXESLOCAL TRANSPORTLOGISTICS COSTSLONG TERM INVESTMENTSMACROECONOMIC STABILITYMAINTENANCE COSTSMAINTENANCE OF INFRASTRUCTUREMARKET SHARESMETRO RAILMOTOR VEHICLEMUNICIPAL PORTSMUNICIPALITIESNATIONAL BUDGETNATIONAL RAILWAYNATIONAL TRANSPORTPASSENGER TRAFFICPASSENGERSPOLLUTIONPOLLUTION CONTROLPOPULATION GROWTHPORT AUTHORITIESPORT CHARGESPOVERTY REDUCTIONPOWERPRICE INCREASESPRICE LEVELPRIVATE PORTSPRIVATE SECTORPRIVATE SECTOR INVESTMENTPRIVATE SECTOR INVESTMENTSPRIVATE SECTOR PARTICIPATIONPRIVATIZATIONPRODUCTIVITYPUBLICPUBLIC DEBTPUBLIC EXPENDITUREPUBLIC EXPENDITURESPUBLIC FINANCEPUBLIC INFRASTRUCTUREPUBLIC INVESTMENTPUBLIC INVESTMENT IN INFRASTRUCTUREPUBLIC INVESTMENTSPUBLIC PRIVATE PARTNERSHIPSPUBLIC RESOURCESPUBLIC SAVINGSPUBLIC SECTORPUBLIC SPENDINGPUBLIC TRANSPORTPUBLIC TRANSPORT INFRASTRUCTUREPUBLIC WORKSPUBLIC WORKS PROJECTSQUALITY OF TRANSPORTRAIL ACCESSRAIL LINESRAIL PROJECTSRAIL RIDERSHIPRAIL TRANSIT LINESRAIL TRANSIT PROJECTRAIL TRANSPORTRAILROADRAILROADSRAILWAYRAILWAY DENSITYRAILWAY NETWORKRAILWAYSREGULATORY FRAMEWORKRESOURCE ALLOCATIONREVENUE LEAKAGEREVENUE MOBILIZATIONREVENUE PERFORMANCEREVENUE SOURCESRISK ALLOCATIONRISK SHARINGROADROAD ACCIDENTSROAD INFRASTRUCTUREROAD MAINTENANCEROAD NETWORKROAD QUALITYROAD SAFETYROAD SECTORROAD TRANSPORTROAD USERSROADSROLLING STOCKRUNWAYRUNWAYSSANITATIONSOCIAL SERVICESSOCIAL WELFARETAXTAX ASSIGNMENTTAX COLLECTIONTAX INCENTIVESTAX REVENUESTELECOMMUNICATIONSTOLLSTRAFFICTRAIN CARSTRANSACTION COSTSTRANSIT AUTHORITYTRANSPORTTRANSPORT COSTSTRANSPORT INFRASTRUCTURETRANSPORT INVESTMENTSTRANSPORT NETWORKTRANSPORT PLANNINGTRANSPORT POLICYTRANSPORT RATESTRANSPORT SECTORTRANSPORT SERVICETRANSPORT SERVICE PROVIDERSTRANSPORTATIONTRANSPORTATION COSTSTRANSPORTATION INFRASTRUCTURETREASURYURBAN DEVELOPMENTURBAN RAILURBAN TRANSPORTURBANIZATIONVEHICLE OPERATINGVEHICLE OPERATING COSTSVEHICLE REGISTRATIONVEHICLE REGISTRATION FEESVEHICLE USERVEHICLE USER CHARGESVEHICLESWATER INFRASTRUCTUREWATER SERVICESWATER SUPPLYWorld Bank10.1596/3030