A rendering of the Laguna Lakeshore Road Network. Courtesy ADB

MANILA -- The Asian Development Bank (ADB) said it is loaning the Philippines $1.7 billion to build a 29.56-kilometer expressway that will be a part of the Laguna Lakeshore Road Network (LLRN) project. 

In a statement, the ADB said it will fund the construction of a 29.56-km section of the new expressway, including the building of bridges and viaducts that will cross waterways flowing into the Laguna Lake. 

ADB will support the LLRN via a multi-tranche financing facility consisting of two loans--a $1.2 billion first-tranche loan, and a $509.5 million second-tranche loan. 

The Asian Infrastructure Investment Bank is co-financing the project with an additional $188.2 million loan, the ADB said.

The multilateral lender also said the 7.89-kilometer northern section of the new expressway will be funded by a $904.35 million loan from the Export-Import Bank of Korea, Economic Development Cooperation Fund under a parallel financing scheme.

The ADB said their support also includes some $35.6 million to elevate viaducts and build armored lakeside embankments to prevent flooding in the nearby areas.

ADB said the LLRN will reduce travel time between Manila and Laguna, promoting regional connectivity and further improving the Philippines' competitiveness.

The project will help link people to jobs and business opportunities, reduce transport costs and traffic congestion, and improve the efficiency of the overall transport network in Metro Manila and nearby regions,” said ADB Country Director for the Philippines Pavit Ramachandran.

The National Economic and Development Authority (NEDA) Board has approved changes to the LLRN in July.

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