Metro Manila (CNN Philippines, June 30) — Davao City secured funding amounting to $1 billion from the Asian Development Bank (ADB) to help finance the acquisition of about 1,100 modern buses.
The ADB announced the approval of the fresh loan in a statement on Thursday.
It said the Davao Public Transport Modernization Project is envisioned to be “a pilot for overhauling the country’s public road transport system.”
The new bus fleets will be run by the private sector under performance-based contracts, the ADB noted.
The project would have around 1,000 bus stops with shelters, five bus depots, and three bus terminals.
It would also be equipped with an intelligent transport system that includes a bus location system, automatic fare collection systems, and WiFi connectivity in buses, terminals, and depots.
“The project is set to transform the quality of Davao City’s public transport and support the city’s rapid economic growth with a low-carbon and climate-resilient bus system,” said ADB Senior Transport Specialist for Southeast Asia Shuji Kimura.
About 800,000 passengers per day are expected to benefit from the massive project.
For jeepney drivers, operators, and allied workers who will be affected by the public transport modernization shift, the ADB said the project will have a social development program, such as livelihood opportunities, to cushion the impact.
