The entry of the European Union (EU) into the Luzon Economic Corridor (LEC) could pave the way for individual countries from the bloc to also contribute to projects targeted for the growth belt, an envoy said.
That will be through the Global Gateway initiative, an existing cooperation between the EU and the Philippines that the bloc now wants to align with the LEC, according to EU Ambassador to the Philippines Massimo Santoro.
Under Global Gateway, the EU has about pound 60 million (P4.2 billion) for green economy projects in the Philippines, as well as pound 20 million (P1.4 billion) for digital connectivity initiatives.
Santoro said the combined pound 80-million funding could still increase as the EU maps out how its existing programs could be deployed within the Luzon corridor.
‘In the Global Gateway Initiative there is the possibility, as it already happens, for the member states to chip in to what we are already putting together,’ he said. ‘It’s complementary, it’s big and can go beyond the contribution of a single member state.
The pound 60-million Green Economy Program, launched in 2023, supports areas such as circular economy, renewable energy and energy efficiency, while the pound 20-million Digital
Economy Package targets connectivity, 5G, cybersecurity and other digital initiatives.
Santoro said the EU was now discussing with other LEC partners how these existing programs could translate into specific projects within the growth corridor.
These would also work hand-in-hand with investments from European countries that have joined the LEC initiative individually, namely Denmark, France, Italy, Sweden and Spain.
‘The moment that we bring to the LEC the Global Gateway Initiative, to which member states of the European Union who are not formally part of the Luzon Economic Corridor are members, this would entail that they somehow indirectly participate to that,’ he added.
Apart from the LEC, the EU is also part of the US-led Pax Silica initiative, which has identified the Philippines as the site of its first artificial intelligence-native industrial hub.
Santoro, however, said the EU’s specific focus in the Philippines would be its participation in the Luzon Economic Corridor.
The ambassador also expressed confidence in the growth of Philippines-EU bilateral trade, particularly as both sides move closer to finalizing a free trade agreement expected to be signed in 2027.