Australia commits $45 million grant to Philippine economic development

Australia has launched the Promoting Growth, Resilience, Economic Stability and Sustainability in the Philippines (PROGRESS) program, a $45 million (approximately PhP2 billion) grant. The initiative, which will run from 2026 to 2031, aims to bolster economic opportunities, infrastructure, and living standards within the Philippines.

The program focuses on several strategic sectors, including renewable energy, offshore wind, the digital economy, and the establishment of a carbon market. It also intends to support the Luzon Economic Corridor (LEC) through project preparation, streamlined approvals, and public-private partnerships to strengthen regional supply chains and energy security.

Beyond infrastructure, PROGRESS will support reforms to improve regulatory predictability, lower the cost of doing business, and increase economic opportunities for women, people with disabilities, and marginalized communities. Australian Assistant Minister for Foreign Affairs and Trade Matt Thistlethwaite and Philippine Finance Secretary Frederick Go formally launched the program in Manila.