Rural Infrastructure Fund (RIF)

Overall, the RIF had a very positive economic impact and achieved its goal of stimulating economic growth and investment in rural areas. Infrastructure improvements financed by the RIF have generally been of high quality design and construction compared with other locally funded infrastructure. The commercial impact of the road and port subprojects is quite strong, as evidenced by expanded agricultural production and increased growth and investment in agribusiness and other commercial activities. These subprojects have also greatly improved access to health and educational services, relieved the discomfort and tedium of rural travel, and promoted rural-urban integration by facilitating access to market towns and urban centers. In addition, TA in telecommunications has assured the success of the first public telecommunications privatization and provided valuable guidance for future privatization efforts, while the provision of air navigational equipment (NavAids) has contributed to flight safety and improved operations and air traffic control. RIF-built schools are well-designed, well-constructed, and highly valued by students, parents, and the community at large. Less positively, the Mt. Pinatubo Recovery Action Plan (RAP), largely prepared by the U.S. Army Corps of Engineers in Portland, while technically sound falls far short of the expectations of the Department of Public Works and Highways (DPWH) for operational guidance. The RAP was supposed to be an analytical tool requiring regular updating; however, the DPWH lacks a system for accomplishing this task. There is also a need for the DPWH to work with other Filipino entities to resolve the problem of jurisdiction over fees collected from port operations. Although the almost yearly devastations in the Philippines by natural disasters argue for the continuance of the RIF, USAID is unfortunately not in a position to continue assistance of this type.