Multilateral lending institutions, as well as the UN and foreign governments, lent or granted the Philippines US$1.09 billion to address disasters blamed on climate change, according to data obtained by IRIN from the Senate's environment committee, which is now looking into how the funds were spent and whether repayments could affect the country's budget. Senate President Juan Ponce Enrile, who is heading the inquiry, said funds to help the Philippines get back on its feet after tropical storm Ketsana and typhoon Parma in late 2009 should come in the form of grants and not loans tied to certain conditions. The back-to-back storms killed more than 1,000 people and affected more than 10 million, according to government data. A third typhoon, Mirinae, exacerbated the emergency situation in October; most of those affected belonged to the third of the country's 92 million who live on less than $1 a day.
"We must stop the current practice of seeking concessional loans even as they come with very low interest rates from developed economies for our adaptation and mitigation efforts," Enrile told reporters recently.
