ADB grants $400m loan to Philippines for vaccine procurement

The AIIB will co-finance another $300m for a total of $700m to buy 110 million doses.

The Asian Development Bank (ADB) has given the Philippines a $400m loan under its Asia Pacific Vaccine Access Facility (APVAX) to help the country purchase vaccines against COVID-19.

The Asian Infrastructure Investment Bank (AIIB) is co-financing a further $300m under the project.

The loans, which total $700m, will together fund the procurement of up to 110 million doses of COVID-19 vaccines for as many as 50 million Filipinos, according to ADB.

Philippines is the first recipient of financing support under APVAX, ADB’s $9b vaccine initiative that offers support to its developing members to purchase safe and effective vaccines against the coronavirus disease.

Vaccines eligible for financing under the HEAL 2 loan must meet at least one of three APVAX criteria: they have been selected for procurement through COVAX, prequalified by the World Health Organization, or their manufacture is authorized by a Stringent Regulatory Authority (SRA) in the country of production.

Any vaccine supply contract supported by ADB will follow its procurement rules and guidelines. ADB will pay vaccine suppliers directly.

“ADB’s support will boost the Philippine government’s urgent efforts to secure and deploy COVID-19 vaccines for all Filipinos, especially those who are vulnerable, such as frontline workers, the elderly, and poor and marginalized populations, as well as those at increased risk of severe illness,” said ADB President Masatsugu Asakawa in a press announcement.

“COVID-19 vaccines are critical to accelerating the recovery of the Philippine economy, rebuilding livelihoods, and restoring quality jobs. With this financing, ADB seeks to help the country save lives and allow Filipinos to return to normal life as soon as possible,” he added.

The Philippines’ Department of Health will receive assistance from the Second Health System Enhancement to Address and Limit COVID-19 under the APVAX (HEAL 2) in procuring and ensuring delivery to the country of vaccines.

Photo courtesy of Asian Development Bank