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Your business is our business. Join our senior anchor Rico Hizon on The Exchange.

The Philippines has largely benefited from Japan's Official Development Assistance. How will the Japanese prime minister's recent visit to Manila enhance Tokyo's support? Let's now have an exchange with Takema Sakamoto, Japan International Cooperation Agency-Philippines chief representative.

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00:00 From news and views, issues and opportunities, we'll have in-depth conversations with decision-makers
00:06 to find out what they know and what they think.
00:10 I'm Rico Gizon, inviting you to join the exchange because your business is our business.
00:19 The Philippines and Japan are taking relations to new heights with the official visit of
00:24 Prime Minister Fumio Kishida.
00:26 In his historic speech before the joint session of Congress, the Japanese leader highlights
00:30 stronger cooperation from defense, transport to the economy, in what he calls the golden
00:36 age of bilateral ties.
00:39 As Tokyo vows to invest more in Manila's development, Japanese establishments are further
00:44 expanding their presence in the country to become household brands.
00:49 The Philippines has largely benefited from Japan's official development assistance, or
01:04 ODA.
01:05 How will the Japanese Prime Minister's recent visit to Manila enhance Tokyo's support?
01:09 Let's now have an exchange with Takema Sakamoto, Japan International Cooperation Agency Philippines
01:15 chief representative, joining us now from Davao City.
01:19 Mr. Sakamoto, great to have you with us.
01:21 How significant is this trip of Japan's Prime Minister for business and economic ties between
01:26 the two countries?
01:28 It was a good occasion to pave the way for the next month's summit meetings.
01:34 Actually, Tokyo will hold the Japan-ASEAN Special Summit, and President Marcos, Jr.
01:42 has already confirmed to attend that, to revisit Japan.
01:45 And before that, it was a very good occasion, opportunity to reaffirm the great ties, closer
01:52 ties between two nations.
01:55 It was indeed a very fruitful visit by Prime Minister Kishida in the Philippines in terms
02:02 of economic and social development.
02:06 Are we likely to see more official development assistance from Japan through JICA?
02:14 I hope so.
02:15 And actually, it should be very noted, you know, Prime Minister Kishida had an opportunity
02:23 to deliver his message at the Congress last Saturday, and it was delivered not in other
02:33 ASEAN countries, but in the Philippines.
02:36 Actually, at the Congress speech, he delivered the principles of the diplomatic policy to
02:44 ASEAN members, and it was done in the Philippines.
02:48 This is a great testimony how Japan is highlighting the importance of, the exceptional importance
02:55 of the Philippines.
02:57 And from this point of view, two leaders mentioned several important infrastructure project names
03:05 for the possible future collaboration, like Metro Manila Subway, Dalton Pass, and PCC
03:15 capacity enhancement.
03:17 These are the examples, and I believe we can enhance our continuous or expanding cooperation
03:24 from JICA to the Philippines.
03:26 You mentioned, Sakamoto-san, a specific project, which is the Metro Manila Subway project,
03:31 which is funded by Japan.
03:34 Is JICA satisfied with the project's progress?
03:38 Yes, of course.
03:42 In general, I can say it is on track.
03:45 But of course, there are such and such challenges, of course, we are facing now.
03:49 For example, the land acquisition, and/or the appropriate time repayment to the contractors,
03:57 which are the Japanese companies.
04:00 But I believe the DOTR or other relevant agencies can manage that in appropriate manners.
04:09 And Sakamoto-san, you are...
04:12 It is promoting very, very smooth, I believe.
04:14 So we need to consider the further financial, how can I say, intervention, financial support.
04:21 And we would like to discuss this matter with the high dignitaries of the Philippine government.
04:27 Sakamoto-san, you're currently in Davao.
04:30 What are the JICA projects currently ongoing there?
04:34 Yes, there are so many.
04:36 But one of the salient examples is the Davao Bypass Tunnel Construction Project.
04:43 Actually, this is the first ever long mountainous tunnel in the Philippines.
04:49 And the Philippines has no experience in the past to have a mountainous tunnel.
04:56 So a Japanese consultant and Japanese companies are working very hard, closely,
05:02 in collaboration with DPWH.
05:05 And today I visited the site, and it was very impressive for me, which has good progress.
05:11 And which other industries, apart from infrastructure,
05:15 can the Philippines benefit from Japan's commitment to invest in the country?
05:22 Actually, the most important point of the successful Japanese prime minister's visit
05:29 is to give the strong message that JICA or Japan is really serious to, how can I say,
05:37 serious to continue or expand our cooperation to the Philippines,
05:41 which can mitigate the business risks or which can make the better perception of the market.
05:47 So every sector, every, how can I say, every sector can be boosted or encouraged
05:56 from our strong, how can I say, commitment to the Philippines.
05:59 But the logistic services or the manufacturing, agricultural sector,
06:04 or renewable energy sector, among others, would be encouraged strongly, I believe.
06:10 Thank you so much for this economic cooperation exchange,
06:13 Takema Sakamoto of JICA Philippines joining us from Davao.
06:18 Here now are the week's top business stories.
06:20 The Philippine Statistics Authority says the economy grew faster last quarter at 5.9%,
06:26 but despite the better-than-expected expansion,
06:29 the data remains below the government's target band.
06:33 Well, the country's inflation rate fell to 4.9% in October,
06:36 following the slower increase in food prices.
06:39 And the national jobless tally was slightly higher at 2.26 million in September,
06:46 and this is equivalent to a 4.5% unemployment rate among our kababayans.
06:54 And coming up on the Exchange, where your business is our business.
06:59 Will the Japanese Prime Minister's visit to the Philippines
07:02 encourage more investments from Tokyo?
07:05 The Japan External Trade Organization weighs in.
07:09 What challenges and opportunities await Japanese brands expanding in the country?
07:13 We speak to the General Manager of Mitsukoshi BGC,
07:17 straight ahead here on CNN Philippines, news you can trust.
07:22 ♪ ♪
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