ZAMBOANGA, Philippines, 24 October 2005 — At least $100 million in loans from Saudi Arabia will be used to boost infrastructure projects in the southern Philippines, officials said yesterday.

The Saudi Embassy in Manila said $20 million would be used for road improvement projects in the provinces of Basilan, Lanao and Cotabato.

The money is part of a recent loan agreement between the two countries and would be sourced from the Saudi Fund for Development to the Philippines, said the embassy.

Saudi Arabia also pledged another $50 million to boost development projects in the five-province Autonomous Region in Muslim Mindanao, a spokesman for regional Gov. Zaldy Ampatuan said.

Basilan, Lanao, Sulu, Tawi-Tawi and Maguindanao provinces are part of the Muslim autonomous region.

The rest of the loan would be mostly for other socio-economic ventures.

Ampatuan led senior ARMM officials, including Maguindanao governor Datu Andal Ampatuan, in a meeting on Thursday with Saudi Ambassador Mohammad Ameen Wali and other Arab diplomats during an iftar hosted by the Saudi Embassy.

Wali also said that he would arrange a meeting between Ampatuan and officials of the Islamic Development Bank, the Saudi Development Bank and the Muslim World League to work out how they can help develop the ARMM.

Ampatuan promised the Saudi ambassador that no loan would be wasted under his administration, according to his spokesman Samson Gogo. The Philippines and Saudi Arabia signed four loan agreements this month in Riyadh early this month.

These included an agreement on the encouragement and protection of investments; a memorandum of understanding on technical education and skills trainings; and another memorandum of understanding on academic and education cooperation between the two countries.

“This pledge of socio-economic support by Saudi Arabia is really a big boost to our efforts of strengthening peace and sustainable development in the ARMM through various projects that can help alleviate the poverty of our Muslim people,” said Gogo.