DBP Grants P3-Billion Loan for New Mandaue City Hall Construction

April 20, 2024 - The Development Bank of the Philippines (DBP), the country’s eighth-largest bank in terms of assets, has granted a P3-billion loan to the local government unit (LGU) of Mandaue City for the construction of its new city hall.

DBP President and Chief Executive Officer Michael O. de Jesus announced that the loan was granted under the bank’s pioneering Assistance for Economic and Social Development (ASENSO) for LGUs Financing Program. The funds will be utilized for the establishment of the city’s one-stop shop government center.

“DBP believes in the vision of the Mandaue City LGU of making it easier for all its constituents to transact with the government by building a new government center where all government offices and departments will be housed,” de Jesus said. “This is in line with President Ferdinand R. Marcos, Jr.'s goal to promote transparent and efficient public governance.”

Mandaue City, a first-class and highly urbanized city in Cebu province, has an estimated population of over 364,000 and is home to a number of major manufacturing and export companies in the region.

The new city hall, which will be at least eight storeys high and feature green building elements, will be constructed on a 4.3-hectare property in downtown Mandaue City. It will house government frontline offices, satellite offices, as well as executive and legislative offices.

The loan agreement with Mandaue City is one of the key projects this year under the ASENSO for LGUs Financing Program. This program assists LGUs in their implementation of various infrastructure projects, including the acquisition of machineries and equipment, and the establishment of smart, sustainable, and disaster-resilient communities nationwide.

“As of January 31, 2024, the DBP has approved a total loan amount of P108.2-billion for 378 accounts under the ASENSO for LGUs Financing Program, with total loan releases amounting to P33-billion,” de Jesus said. “DBP is ready to work with more LGUs in their pursuit of various initiatives designed to accelerate infrastructure build-up and boost socio-economic development in their respective localities.”