The Market Monitor Minding the Nation's Business
Metro Pacific Tollways South (MPT South) is allocating P14 billion in capital expenditures (CAPEX) for 2025, an increase from last year’s P8 billion.
The funds will primarily be used to complete road segments that are still under construction.
MPT South Vice President Elnora Rumawak said the company needs to finish the projects by 2025 despite challenges such as right-of-way issues and recent typhoons.
“We are doing everything we can to ensure we meet this deadline,” Rumawak added.
He explained that a combination of loans and equity would be tapped to fund the planned capex.
“We are targeting to have an additional loan for the capex next year. For the Manila-Cavite Toll Expressway Project (MCTEP) which is located near Paranaque, we are targeting to have an additional P3-billion loan, and then for the Calax (Cavite-Laguna Expressway), we are targeting a loan close to P6 billion, as well as equity, mostly from Metro Pacific Tollways Corp,” she explained.
Rumawak revealed that they are planning to get loans from local banks like the Land Bank of the Philippines, Rizal Commercial Banking Corp., BDO Unibank Inc., and Security Bank.
The segments that are planned to be completed are Calax and the Manila-Cavite Expressway-C5 (Cavitex-C5) Link and these are Calax Governor’s Drive Interchange, Open Canal Interchange, and Kawit Interchange, as well as the C5 Link Segment 38, which will connect the current Sucat Interchange to the C5 Link Flyover Extension.
Another project under construction is the Cavitex-Calax Link, integrating the two major toll roads, and is targeted to be finished by late 2025.
MPT South noted that traffic at its toll roads was expected to grow by more than 30 percent by the end of 2025, translating to more than 340,000 average daily motorists from around 259,000. Said growth will be driven by the completion of several key segments in its project portfolio.
“Aside from providing an enhanced driving experience for our motorists, our projects also aim to contribute to the region’s economic development by improving accessibility and connectivity,” explained by MPT South resident and General Manager Raul Ignacio.
Ignacio added that once completed, the expressway network will provide a more seamless travel experience for more than 340,000 motorists thus helping economic growth in both regions.
“It will facilitate quicker, more efficient movement of goods and services between key industrial and commercial hubs. It will also bring its total road network to 67 kilometers,” he said.