The Asian Development Bank (ADB), along with Agence Française de Développement (AFD) and the OPEC Fund for International Development, has approved a substantial financing package of over $770 million to combat hunger, food insecurity, and poor nutrition in the Philippines. This initiative will support the government’s flagship social assistance program, the Walang Gutom (Zero Hunger) Food Stamp Program.
The funding includes a $400 million loan from the ADB, a €200 million ($220 million) loan from AFD, and a $150 million loan from the OPEC Fund for International Development. This joint effort will help the Philippine government deliver monthly electronic food vouchers to 750,000 food-insecure households nationwide.
Addressing a Critical Need
With nearly half of the Philippine population unable to afford a healthy diet, the project is a critical step toward meeting the nutritional needs of poor and vulnerable families. “This project reflects ADB’s commitment to improving food security and nutrition so that all Filipinos can thrive,” said Pavit Ramachandran, ADB Deputy Director General for Southeast Asia and concurrent Country Director for the Philippines.
Poor nutrition and food insecurity have severe long-term consequences. Nearly 30% of Filipino children under five years old are stunted, a condition linked to long-term nutritional deficiencies that can impair learning, health, and future productivity. The economic cost of childhood undernutrition is estimated at $8.5 billion annually, underscoring the urgent need for targeted, multi-sector solutions.
Building a Resilient System
In addition to providing electronic food vouchers, the project will also focus on building resilience and promoting healthier behaviors. Beneficiaries will participate in monthly sessions designed to promote positive nutrition-related habits and address knowledge gaps. This holistic approach aims to reduce both malnutrition and poverty.
The project will also help strengthen the government’s implementation capacity and create more shock-responsive social protection systems. This is particularly vital given the Philippines’ high vulnerability to natural disasters such as typhoons, which are expected to intensify due to climate change. These enhanced systems will ensure that assistance can be delivered swiftly to households during disasters and economic shocks.
This new project builds on ADB’s longstanding partnership with the Philippines, including over 15 years of support for the Pantawid Pamilyang Pilipino Program (4Ps). It also incorporates valuable insights gained from a successful pilot program, which ran from December 2023 to July 2024, in partnership with the World Food Programme.
