JICA and MMDA commence a project on Intelligent Transportation System

The Japan International Cooperation Agency (JICA) and the Metropolitan Manila Development Authority (MMDA) signed the Record of Discussions for the new three-year technical cooperation project (TCP), “Capacity Enhancement on Traffic Management with Improvement of Intelligent Transportation Systems in Metro Manila”, on 21 February 2025, at the MMDA office in Pasig City.

Traffic congestion has long been identified as one of the most pressing social, political, and economic problems in Metro Manila, prompting HE President Marcos Jr. to convene a special cabinet-level meeting in February this year with the Comprehensive Traffic Management Plan (CTMP) for Metro Manila as the primary agenda. The CTMP was the achievement of the previous TCP in partnership with JICA and MMDA from 2019 to 2022, and the MMDA, in collaboration with the 17 local government unit (LGU) members of the MMDA, is currently implementing the Five-Year Action Plan on Traffic Management (Action Plan), which was an output of the CTMP.

The CTMP aims to (1) strengthen traffic regulation and enforcement; (2) develop a comprehensive traffic management database; and (3) promote road safety and smooth transportation.

As traffic congestion is a multi-faceted issue, in addition to the necessity of mass modal shifts by developing railway systems, etc., several factors continue to exacerbate road traffic, one of which is the increasing sales of vehicles in the country, reaching a record of nearly 500 thousand vehicles in 2024[1]. NCR traffic was ranked as the world’s worst metro area, out of 387 cities across 55 countries according to the TomTom Traffic Index 2023, having moved up 15 ranks from the worst position of the same index in 2024. According to a frequently cited JICA survey, because of the traffic congestion, transport costs in Metro Manila alone was estimated to be PHP3.5 billion per day based on the survey conducted in 2017 and was projected to increase to PHP5.4 billion per day by 2035 if no intervention was done.

The inadequate provision of extensive, accessible, efficient and safe public transportation has contributed to the increase in the number of private vehicles on the road, exacerbating urban road congestion, and reduce the quality of life. Relatedly, high transport costs also contribute to the country’s inability to attract more investments, with the Philippines among the six countries out of 10 ASEAN member countries where Foreign Direct Investment inflows declined from 2022 to 2023[2]. Furthermore, the greater risks of road accidents, air pollution, and global warming are increasingly linked to traffic congestion.

In this context, JICA and MMDA are jointly committed to enhancing traffic management, and promoting safer, faster, and more convenient movement of people and goods in Metro Manila. For this to be realized, the newly commencing TCP, that is the Project for Capacity Enhancement on Traffic Management with Improvement of Intelligent Transportation Systems in Metro Manila, aims to improve the road traffic conditions in Metro Manila by strengthening MMDA’s capacity in traffic management and utilizing modernized intelligent transportation systems. Technical assistance will be provided in the enhancement of planning capacity for ITS development, improvement on ITS implementation including procurement of ITS equipment, and the establishment of a traffic data management system.

JICA Chief Representative SAKAMOTO Takema reiterated that “JICA is pleased and enthusiastic to support MMDA to develop its capacity of traffic management by introducing “Japan Quality” ITS measures.”

This new collaboration is part of JICA’s strategic Official Development Assistance (ODA) plan to transform the transportation system in the Philippines.

JICA has enthusiastically been supporting efforts of the Philippines through various hard infrastructure development projects, such as: the Metro Manila Subway Project, North South Commuter Railway Project, expansion of existing LRT Lines 1 and 2, and rehabilitation of vital infrastructure such as the MRT-3 and the Guadalupe and Lambingan bridges.

In parallel, JICA’s comprehensive ODA also prioritizes soft-component developments which enhance planning and implementation capacity, through various initiatives, such as: the Project for Capacity Development of Public Utility Vehicles in Metro Manila, Establishment of the Philippine Railway Institute, Formulation of 30-Year Railway Master Plan for Greater Capital Region (GCR) with the Department of Transportation (DOTr), and Capacity Enhancement of Transit-Oriented Development (TOD) with Bases Conversion Development Authority (BCDA) which promotes effective coordination between main railway lines and feeder transportation linking station area development with urban development to make cities more vibrant and livable.

Together with the 17 LGU members of the MMDA, the newly commencing TCP will further advance the transformation of the road transportation system in the Philippines, in tandem with vigorous policies to promote modal shift.

MMDA Chair Romando Artes and JICA Chief Rep. SAKAMOTO Takema signs the Record of Discussions for the new TCP.

Representatives from JICA, MMDA, DILG, and EOJ attends the signing ceremony.

• [1] Chamber of Automotive Manufacturers of the Philippines Inc. and Truck Manufacturers Association
• [2] ASEAN Investment Report 2024