President Ferdinand Marcos Jr. has approved the issuance of sovereign guarantee for shelter projects under the Pambansang Pabahay para sa Pilipino Housing (4PH) program to expedite the construction of housing units and address the current backlog, Department of Human Settlements and Urban Development (DHSUD) Secretary Jose Rizalino Acuzar said yesterday.
The President’s nod is a game changer as it would address homelessness in the Philippines, Acuzar added.
“I am optimistic this guarantee will make the difference in our quest to finally address homelessness in the country. This guarantee is another solid testament of our President’s commitment to uplift the lives of all Filipinos by providing decent yet affordable shelters through a whole-of-nation approach,” he said.
DHSUD Undersecretary Avelino Tolentino said a sovereign guarantee is meant to fast-track the loans from the private sector as well as the borrowing for the construction and the development of housing projects.
Tolentino said this addresses the front end as the government will act as the developer.
Acuzar said through the sovereign guarantee, government financing institutions could extend loans to the National Housing Authority and Social Housing Finance Corp. to construct the 4PH projects.
Based on DHSUD’s projection, a guarantee requirement of over P4.078 trillion is needed to complete the target of 3.2 million housing units, Tolentino added.
According to DHSUD, there are 53 ongoing projects at present under 4PH which are mainly funded by the private sector.
Acuzar said up to 1.2 million housing projects are in the pipeline but the government hopes to complete 3.2 million housing units by 2028.
To complete the 1.2 million housing projects in the pipeline, the required guarantee is P1.65 trillion, Tolentino said.
