Project Data Sheet

Project Data Sheets (PDS) contain summary information on the project or program: Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.

PDS Creation Date 01 Dec 2006
PDS Updated as of 06 Sep 2011

Project Name Development of Poor Urban Communities Sector
Country Philippines
Project/Program Number 32499-013
Status Approved
Geographical Location
In preparing any country program or strategy, financing any project, or by making any designation of, or reference to, a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.
Sector Water supply and other municipal infrastructure and services
Subsector Urban Sector Development
Strategic Agendas
Drivers of Change
Gender Equity and Mainstreaming Categories

Financing

Type/Modality of Assistance Approval Number Source of Funding Approved Amount (thousand)
Loan2063Ordinary capital resources30,500
Counterpart 21,500
TOTAL US$ 52,000

Safeguard Categories

For more information about the safeguard categories, please see http://www.adb.org/site/safeguards/safeguard-categories

Environment B

Summary of Environmental and Social Issues

Environmental Aspects
Involuntary Resettlement
Indigenous Peoples

Stakeholder Communication, Participation and Consultation

During Project Design
Community participation is fundamental at all stages of the Project cycle. To ensure that the communities not only participate in but drive the Project, a community-driven participatory component has been made part of the Project. The process was initiated during Project preparation with the full involvement of the pilot communities in Project design.
During Project Implementation
Communities will be fully involved in driving the detail design of the sub-projects facilitated by NGOs. They will prepare, and agree to, a Community Action Plan detailing the outcomes of the project and their involvement/contribution.

Description

The overarching goal of the Project is to reduce income poverty and quality-of-life poverty in urban areas. Its main objectives are: (i) to improve the access of low-income urban families to land tenure and affordable shelter and, in support of this, to provide or upgrade basic municipal infrastructure and services; and (ii) to decentralize shelter sector activities through LGUs and, in parallel to this, to strengthen the role and capacity of participating communities. The proposed Project consists of three parts. In Part A, the LBP will re-lend the loan to qualified LGUs for site development. About 30,000 households will gain access to land tenure with basic infrastructure and services. In Part B, the LBP will establish shelter financing and microcredit facilities for the potential beneficiaries, to support financing for (a) serviced plots and house improvements, (b) new housing loans, and (c) microenterprise credit facilities. In Part C, the NHA will undertake capacity building and project implementation support programs for communities and LGUs to strengthen the decentralized shelter delivery mechanism.

Project Rationale and Linkage to Country/Regional Strategy

The Philippines continues to urbanize rapidly. Over half of the population is in the urban areas, and this proportion is expected to reach 60 percent by 2010 if current trends continue. Affordable shelter and land markets have not kept pace with rapid urban growth: more than 40 percent of urban families have to live in makeshift dwellings in informal settlements. While official data indicate that only about 20 percent of the 7.5 million urban households fall below the poverty income line (P13,915 per capita per year as of 2001), the poverty income line alone does not capture the dire situation of informal settlers. Many of the urban poor living in informal settlements suffer from lack of access to basic services and infrastructure, poor-quality housing, insecure tenure, and high risks to public health. Complicated legal processes for obtaining legal title and the scarcity of urban land further prevent poor urban dwellers from using the necessary capital to rise from poverty, and financial services for the urban poor are virtually nonexistent in the formal sector. The housing finance system benefits only formal sector employees above the fifth income decile, and few Government housing programs are effectively targeted to the urban poor communities. With the large number of informal urban dwellers and the continuing high levels of income poverty and quality-of-life poverty in urban areas, a sectorwide intervention to combat poverty is urgently required.

Development Impact

Project Outcome

Description of Outcome
Progress Towards Outcome

Outputs and Implementation Progress

Description of Project Outputs
Status of Implementation Progress (Outputs, Activities, and Issues)
Status of Development Objectives
Material Changes

Business Opportunities

Date of First Listing 2006 Dec 01
Consulting Services
Consultants will be selected and engaged in accordance with ADB's Guidelines on the Use of Consultants and arrangements satisfactory to ADB for the engagement of domestic consultants. A team of international and domestic project management consultants will help the Project Management Office implement, manage, and monitor Project activities. The consultants will assist with the review of community action plans and contract documents, and provide training for the LGUs in Project implementation, monitoring, and evaluation, financial aspects, and community participation approaches. For the detailed engineering design and supervision in Part A, LGU counterpart funds will finance the services of domestic consultants, who will be recruited by the Project Implementation Unit for the LGU concerned, following procedures acceptable to ADB.
Procurement
Goods and services financed by the ADB loan will be procured according to ADB's Guidelines for Procurement applicable to loans to development finance institutions for re-lending to sub-borrowers.
Procurement and Consulting Notices
http://www.adb.org/projects/32499-013/business-opportunities

Timetable

Concept Clearance
Fact-finding 18 Jun 2001 to 17 Jul 2001
Management Review Meeting 10 Jun 2002
Approval 18 Dec 2003
Last Review Mission

Milestones

Approval No. Approval Signing Effectivity Closing
Original Revised Actual
Loan 2063 18 Dec 2003 22 Dec 2003 21 Apr 2004 20 Apr 2010 10 Jun 2010

Utilization

Date Approval Number ADB (US$ thousand) Others (US$ thousand) Net Percentage
Cumulative Contract Awards
19 Aug 2014 Loan 2063 0 0 0.00%
Cumulative Disbursements
19 Aug 2014 Loan 2063 17,788 0 100.00%

Status of Covenants

Covenants are categorized under the following categories—audited accounts, safeguards, social, sector, financial, economic, and others. Covenant compliance is rated by category by applying the following criteria: (i) Satisfactory—all covenants in the category are being complied with, with a maximum of one exception allowed, (ii) Partly Satisfactory—a maximum of two covenants in the category are not being complied with, (iii) Unsatisfactory—three or more covenants in the category are not being complied with. As per the 2011 Public Communications Policy, covenant compliance ratings for Project Financial Statements apply only to projects whose invitation for negotiation falls after 2 April 2012.

Approval No. Category
Sector Social Financial Economic Others Safeguards Project Financial Statements
Loan 2063

Contacts and Update Details

Responsible ADB Officer Michael R. Lindfield (mlindfield@adb.org)
Responsible ADB Department Southeast Asia Department
Responsible ADB Divisions Urban Development and Water Division, SERD
Executing Agencies Housing and Urban Development Coordinating Council
Celia Alba

Development Bank of the Philippines
Mr. Brillo Reynes

Links

Project Website http://www.adb.org/projects/32499-013/main
List of Project Documents http://www.adb.org/projects/32499-013/documents