MANILA - Baguio City's local government is studying proposals to build a cable car system and monorail to ease traffic congestion in the Philippines' summer capital.

The City government said on Wednesday that Mayor Benjamin Magalong recently had a meeting with Transportation Secretary Arthur Tugade, who offered a deal to help set up a cable car system.

The proposed cable car system would link Baguio City with the town of Pugo, La Union, the LGU said.

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"Conceptual designs for the project, the first in the country, will be provided to the city for review prior to the forging of the agreement," Baguio City said on its official web page.

The Department of Transportation also offered to help Baguio City set up a monorail line to La Trinidad town in Benguet, which was proposed by the Department of Science and Technology-Cordillera.

The monorail, or Automated Guideway Transit, would run from the Benguet provincial capital to the Slaughterhouse Compound in Baguio, and from the city's Bonifacio rotunda up to the SM City Baguio passing through the central business district area.