Subic-Clark-Manila-Batangas railway project gets grant from Sweden

The Swedish government has extended a 12 million Swedish krona (around PHP74 million) grant for the Luzon Economic Corridor’s (LEC) flagship Subic-Clark-Manila-Batangas (SCMB) railway project.

The Office of Special Assistant to the President for Investment and Economic Affairs (OSAPIEA), in a press release on Wednesday, said the agreement was signed between the Government of Sweden, through Swedfund International, and the Department of Transportation (DOTr), and the document for the grant was presented at the Malacañang Palace on Wednesday.

“Swedfund’s grant will fund a feasibility study on signaling systems and operational models for the SCMB railway - the anchor infrastructure initiative of the LEC that will connect the major ports of Subic, Manila, and Batangas, strengthening logistics and trade across Luzon,” it said.

It said the Manila-based “Asian Development Bank will oversee procurement of the consultant for the main feasibility study.”

SAPIEA Secretary Frederick Go and Swedish Ambassador to the Philippines Anna Ferry led the group during the presentation.

They were joined by Sweden’s Ministry of Foreign Affairs Department Head for Asia, the Pacific and Latin America Daniel Wolvén, Sweden’s Trade Commissioner to the Philippines Johan Lennefalk, DOTr officials led by Acting Secretary Giovanni Lopez, and representatives from the Department of Finance and the Department of Foreign Affairs.

“This partnership between the Philippines and Sweden advances the President’s vision of developing globally competitive logistics infrastructure that will drive investment and inclusive growth,” Go said in his keynote address during the event.

Ferry, in turn, welcomed the partnership, saying: “This additional agreement with the Department of Transportation is a remarkable example of synergies and cooperation between public and private efforts.”

“We are proud to support the Philippines’ development goals with Swedish technology and expertise in transportation and provide a boost for sustainable growth and opportunities,” she said.

OSAPEIA said the Swedfund International’s support “complements the June 2025 funding from the U.S. Trade and Development Agency, which supports parallel studies on transport modeling, port–rail integration, and institutional planning.” (PNA)