Mayor Michael Rama announced at his final State of the City Address for his term last July 4, 2015, Saturday that the money from the sale of the 2 SRP lots sold recently will be used to pay Cebu’s loan which was used in the development of the 240 hectares of SRP.
There are P3 billion pesos left to be paid from the loan borrowed from the Japan International Cooperation Agency (JICA) 20 years ago.
Mayor Mike Rama thanked everyone who had given him authority to sell the 2 lots, beginning with the councilors. He did not forget to thank the mayors before him for the development of the SRP, giving recognition to Congressman Tomas Osmeña and Alvin Garcia, “He is a man who worked hard, fighting that a loan will be approved. Thus, SRP came about and he should also be commended for he will be part of history, and his name is Tommy Osmeña…[Alvin Garcia] is the man who started and worked so hard and had it turned over. We have become the beneficiaries also of his toiling, working and steadfast conviction to make the SRP saleable.”
The payment for the loan will be taken from the downpayment for the two lots, amounting to P8 billion. The government will receive the money from the buyers once the contracts will be given. No longer having the debt has the following benefits:
- The city will not have to allocate a minimum of P500 million of the city’s annual budget to pay the debt.
- The destitute citizens of the city, should they be hospitalized, will no longer have to worry about the expenses for that since the will be releasing monetary aid, according to Mayor Rama.
- Monetary aid for PWDs which was released earlier this week.
The mayor also announced at the event his other plans, mainly several forms of incentives, catering to different people but the funds for those are not necessarily funded solely by the sale of the SRP lots.
Photo credits: Sun.Star Cebu