Philippines : Supporting Innovation in the Philippine Technical and Vocational Education and Training System Project

Sovereign Project | 54332-001

The project will support modernizing the Philippine technical and vocational education and training (TVET) system, so that it can respond effectively to an increasingly globalized, technology- and knowledge-driven market. It will improve the quality of skilling programs, upgrade training facilities and equipment, and build the capacity of trainers to impart the higher-level skills and competencies demanded by the job market. The project will help the Technical Education and Skills Development Authority (TESDA), the Philippine TVET agency, to undertake institutional reforms and forge stronger engagement between public TVET institutions and industry, thereby enhancing the employability of Filipino youth and workers. It will also support the government's National Employment Recovery Strategy (NERS) to help the economy bounce back from the adverse effects of the coronavirus disease (COVID-19).

Project Details

Project Name Supporting Innovation in the Philippine Technical and Vocational Education and Training System Project
Project Number 54332-001
Country / Economy Philippines
Project Status Active
Project Type / Modality of Assistance Loan
Source of Funding / Amount
Loan 4268-PHI: Supporting Innovation in Philippine Technical and Vocational Education Training System
Ordinary capital resources US$ 100.00 million
Operational Priorities OP1: Addressing remaining poverty and reducing inequalities
OP2: Accelerating progress in gender equality
OP3: Tackling climate change, building climate and disaster resilience, and enhancing environmental sustainability
OP6: Strengthening governance and institutional capacity
Sector / Subsector

Education / Technical and vocational education and training

Gender Gender equity theme
Description The project will support modernizing the Philippine technical and vocational education and training (TVET) system, so that it can respond effectively to an increasingly globalized, technology- and knowledge-driven market. It will improve the quality of skilling programs, upgrade training facilities and equipment, and build the capacity of trainers to impart the higher-level skills and competencies demanded by the job market. The project will help the Technical Education and Skills Development Authority (TESDA), the Philippine TVET agency, to undertake institutional reforms and forge stronger engagement between public TVET institutions and industry, thereby enhancing the employability of Filipino youth and workers. It will also support the government's National Employment Recovery Strategy (NERS) to help the economy bounce back from the adverse effects of the coronavirus disease (COVID-19).
Project Rationale and Linkage to Country/Regional Strategy

The project is aligned with the following impacts: global competitiveness and readiness of the Filipino mid-level workforce strengthened, and TVET used more effectively as an instrument for social equity for workforce inclusion and poverty reduction. The project will have the following outcome: access to quality TVET programs and employability of TVET graduates improved. The project will achieve this outcome by supporting the following outputs.

Output 1: The Philippines' skills development ecosystem modernized. The project will support TESDA in strengthening the Philippines' skills ecosystem by (i) designing new training programs demanded by industry at higher national certificate levels (levels III, IV, and V or diploma level); (ii) updating selected TESDA Online Program courses and providing new courses on 4IR skills, including industry application of the internet of things; data analytics and artificial intelligence for predictive and preventive operation and maintenance; application of sensor technologies; critical thinking; and science, technology, engineering, and mathematics; (iii) incorporating behavioral change communication and community education campaigns to address potential gender stereotypes in the design and delivery of training programs; and (iv) reskilling and upskilling of TESDA trainers and assessors. TESDA will first roll out these initiatives in the 17 selected TTIs supported under output 3 and their regional TVET innovation centers (RTICs). It can then refine and scale up the programs across other TTIs and raise standards across the Philippine skills ecosystem.

Output 2: Technical and vocational education and training made more demand-driven and industry-led. The project will support TESDA in forging partnerships between the 17 TTIs upgraded under output 3 and industry associations, local government units, education institutions, and nongovernment organizations active in training, curriculum development, and livelihood development. The upgraded TTIs and their RTICs, newly established under the project, will support enterprise-based training in relevant trades, based on the regional economic context and profile of local enterprises. The TTIs' institutional development plans will focus on results and include indicators for industry engagement, higher graduate employment rates, gender equality, and social inclusion.

Output 3: Selected technology institutions upgraded and modernized into industry-responsive innovation centers. The project will upgrade and modernize 17 TTIs (one in each region of the Philippines) selected based on demand- and supply-side considerations. Students enrolled in these TTIs will benefit from improved training facilities and equipment, in addition to stronger industry engagement provided under output 2. The project will also establish new RTICs within the premises of these 17 TTIs. The RTICs will offer higher national certificate level courses, diploma, and joint programs with industry in emerging technologies; and support applied research and development and business incubation. The 17 upgraded TTIs and their RTICs will focus on the economic needs of the respective province and priority sectors listed in the National Technical Education and Skills Development Plan, 2018-2022. They will introduce new programs, so that trainees can fully tap existing technologies and gain 4IR skills demanded by industry (output 1). Different operating models to ensure long-term institutional and financial sustainability and cost-sharing with industry will be pilot-tested. Climate-smart, gender-responsive, and accessible designs will be followed while upgrading the 17 TTIs and constructing the RTICs.

Output 4: Technical Education and Skills Development Authority's institutional capacity strengthened. The project will help (i) strengthen TESDA's financial management, procurement, gender, and safeguards systems; and undertake required organizational reforms; (ii) improve TESDA's monitoring and evaluation system, including collecting and analyzing sex-disaggregated data to inform policy and decision-making; and (iii) operationalize key reforms to strengthen industry and training linkages, agreed by TESDA and the Philippine Chamber of Commerce and Industry and other industry bodies. In addition to helping TESDA run its own TTIs more effectively, the project will allow TESDA to showcase good examples of RTICs that provide training focusing on digital and 4IR skills.

Impact

Global competitiveness and readiness of the Filipino mid-level workforce strengthened, and TVET used more effectively as an instrument for social equity for workforce inclusion and poverty reduction

Project Outcome
Description of Outcome

Access to quality TVET programs and employability of TVET graduates improved

Progress Toward Outcome
Implementation Progress
Description of Project Outputs

The Philippines' skills development ecosystem modernized

TVET made more demand-driven and industry-led

Selected TTIs upgraded and modernized into industry-responsive innovation centers

TESDA's institutional capacity strengthened

Status of Implementation Progress (Outputs, Activities, and Issues)
Geographical Location Nation-wide
Safeguard Categories
Environment B
Involuntary Resettlement C
Indigenous Peoples B
Summary of Environmental and Social Aspects
Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design
During Project Implementation
Business Opportunities
Consulting Services All consultants will be recruited according to ADB's Guidelines on the Use of Consultants (2017, as amended from time to time). Quality Cost Based Selection (QCBS) with a ratio of 80:20 will be used for the recruitment of the Design and Construction Supervision Consulting Firm and the Project Management Consulting Firm with contracts above US$ 100,000. Consultant's Qualification Statement (CQS) will be employed for the consulting firm responsible for the development of competency standards and assessment instruments for 4IR Qualifications.
Procurement All procurement of goods, works, and consulting services will be undertaken in accordance with the Procurement Regulations for ADB Borrowers for Goods, Works and Non-consulting, and Consulting Services (2017, as amended from time to time).
Responsible ADB Officer Chong, Fook Yen
Responsible ADB Department Sectors Group
Responsible ADB Division Human and Social Development Sector Office (SG-HSD)
Executing Agencies
Technical Education & Skills Dev. Authority(TESDA)
Timetable
Concept Clearance 26 Nov 2020
Fact Finding 17 May 2021 to 21 May 2021
MRM 10 Dec 2021
Approval 05 Dec 2022
Last Review Mission -
Last PDS Update 05 Dec 2022

Loan 4268-PHI

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
05 Dec 2022 15 Dec 2022 08 Feb 2023 31 Jul 2028 - -
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 117.30 Cumulative Contract Awards
ADB 100.00 24 Jan 2024 0.11 0.00 0%
Counterpart 17.30 Cumulative Disbursements
Cofinancing 0.00 24 Jan 2024 0.08 0.00 0%

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.

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Safeguard Documents See also: Safeguards
Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.


Evaluation Documents See also: Independent Evaluation

None currently available.


Related Publications

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The Access to Information Policy (AIP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.

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Tenders

Tender Title Type Status Posting Date Deadline
Procurement and Contract Management Specialist Individual - Consulting Closed
Financial Management Specialist Individual - Consulting Closed
Project Management Consultants (Firm) Firm - Consulting Closed
Design and Construction Supervision Consultants Firm - Consulting Closed

Contracts Awarded

Contract Title Approval Number Contract Date Contractor | Address Executing Agency Total Contract Amount (US$) Contract Amount Financed by ADB (US$)
FM Specialist (ICS) Loan 4268 31 Jan 2024 Schwendi Samson Fajardo | Lot 7, Block 8, Emmanuel St., Baseview Homes Subdivision, Lipa, Batangas, Philippines Technical Education and Skills Development Authority (TESDA) 111,773.26 111,733.57

Procurement Plan