Republika ng Pilipinas N~'~A~omcrs.nia.gov.ph/?q=system/files/mc/2017_014.pdf · Republika ng Pilipinas N~'~A~ (Pambansang Pangasiwaan ng Patubig) Lungsod ng Quezon)ffice Address:

Republika ng Pilipinas

N~'~A~(Pambansang Pangasiwaan ng Patubig)

Lungsod ng Quezon

)ffice Address: National Government CenterEDSA, Diliman, Quezon City, Philippines

"elephone Nos.: (02) 929-6071 to 78Nebsite: www.nia.gov.ph

Telefax No. (632) 928-9343TIN No. 000-916-415

MC. No. J.U-, s. 2017

MEMORANDUM CIRCULAR

TO : THE DEPUTY ADMINISTRATORS, DEPARTMENT! REGIONAL!OPERATIONS! PROJECT MANAGERS, DIVISION MANAGERS AND ALLOTHERS CONCERNED

SUBJECT : ISSUANCES FROM THE INVESTMENT AND COORDINATIONCOMMITTEE (ICC)

Attached are memoranda from the Secretary of DOF (Chair) and Secretary - General ofNEDA (Cc-Chair) of the Investment Coordination Committee Cabinet Committee (ICC-CC) onthe following:

1. Revisions on ICC Guidelines and Procedures (Updated Social Discount Rate (SRD)for the Philippines) requires all project proposals submitted for ICC review shall adoptthe updated SRD.

2. Revision on ICC Guidelines and Procedures ( ICC Arrangements and Policies).

3. ICC Policy on Integrating the Harmonized Gender and Development Guidelines(HGDG) in the ICC Process" which requires proponent agencies to accomplish andsubmit the Gender - Responsive Checklist as additionallCC Project Evaluation (PE)Form in addition to the ICC - PE Form Nos. 1 to 7 submitted to ICC Secretariattogether with the project proposal, for review.

Please be guided accordingly.

fJ~PETER TIU LAVINAAdministrator

February 7, 2017

lNVESTMENT COORDINATION COMMl'TTEE

MEMORANDUM

For Heads of Departments/Agencies of the National Government,Govemment-Owned and Controlled Corporations, Government FinanciulInstitutions, Local Government Units and All Others Concerned

From Secretary Carlos G. DorninguezDepartment of FinanceChair, Ice - Cabinet Committee

Secretary Ernesto M. PerniaNational Economic. and Development AuthorityCc-Chair, Tce - Cabinet Committee

SUbject: REVISIONS ON ICe GUIDELINES AND J>:ROCEDURES(UPDATED SOCIAL DISCOUNT RATE FOR THE PHILIPPINE,S)

Date: 30 September 2016

l. The NEDA Board, during its 14 September 2016 meeting, confirmed the InvestmentCoordination Committee's (leC) approval of the updating of the Social Discount Rate (SDRIfrom the current rate of 15% to s lower rate of 10%.

2. SDR reflects the hurdle rate which the economic internal rate of return (EJRRl of a proposedproject must equal or exceed for it to become an economically viable investment. Since the late1980s, the ICe has maintained a rate of 15% for project evaluation; however, several empiricalstudies conducted thereafter have recommended 11 lower rate, i.c., Asian Development Bank(1997) at 11.5% and Jenkins and Kuo (1998) and NEDA Manual (1999) at 10%" More recently.a study conducted by Prof. Ruperto Alonzo in 2014 yielded an SDRmnge estimate from 7.4%to 10%. Further, the updated SDR is consistent with the J 0 to 12% rates currently being usedby multilaterals banks and reflects the current circumstances in light of the positivedevelopments in the economy over the past few years.

3. All project proposals submitted for Ice review shall henceforth adopt the updated SDR.

For information and guidance.

~- f---------= --~~E~RN~lA~-SEC. ERNESTO M.National Economic end velopment

Authority

SEC. CARLOS G. DOMINGUEZDepartment of Finance 1~/

~.

II\'VESTMENT COORDINATION COMMITTEE

MEMORANDUM

For Heads of Departments/Agencies of the National Covernment,Government-Owned and Controlled. Corporations, CovernmentFinancial Institutions, Local Government Units and All OthersConcerned

From Secretary Carlos G. DorninguezDepartment of FinanceChair, ICe - Cabinet Committee

Secretary Ernesto M. Pernia-ational Economic and Development Authority

Cc-Chair, ICC - Cabinet Committee

Subject: REVISIONS ON ICe GUIDELINES .AND PROCEDURES(Ice ARRANGEMENTS AND POLICIES)

Date: 30 September 20 lG

1. The. EDA Board, during its 14 September 2016 meeting, approved the recommendationof the Investment Coordination Committee (ICe) 0)) the levels of approvals with regard tochanges in project scope/cost, extension of project implementation or loan/grant validity.and change in project financing ofICC- andNEDA Board-approved projects.

2. The proposed arrangements/policies are expected to, streamline the ICe review proceduresby delegating certain scopes of NEDA Board approvals to the lee, the NEDAfICCSecretariat. and/or the Department of Finance (DOFj, with the NEDA Board focusing onapproving new projects and major/substantial changes in NEDA Board-approved ongoingprojects. Furthermore, it will allow for more effective and efficient implementation ofprojects and encourage agencies to better prepare, design and budget for projects for moreprudent management of resources,

3. Accordingly, authority for acting on certain scopes are hereby modified as follows:

-. Level of ReviewNatur~_ (If Request Decision Parameters1. Change in 1.1 Change: in expected benef ts (i .c., change NEDA BOard

Project Scope/ in expected beneficiaries, service area, ApprovalCof>t cbange in JCC!NB-approved design) I .."...._I'----

Pagelof2

1.2 Increase in total project cost by more than NEDABOar~10% Approval

l.3 Increase in total project cost by 1O'Y~-and NEDA Boatdbelow, but equal to or more than ICCfNB Approvalcost floor for review

1.4 Decrease in total project cost with request Ice Approvalto use savings to expand scope orcoverage .

ICCSC<:Tet~1.5 Increase in total project cost by 10% andbelow, but less than ICC/NB cost flOOTfor review I- .

1.6 Decrease in total project cost! without ICe Notation I

.-Jchange in project scope12~ . i.1 More th~ 24 months2. Extension of NEDABoa~Project - ,

Approval.Implementation 2.2 More than 12 mont.hs up to 24 months Ice Appmv.i1] .I Loan/Grant 2.3 12 months 8)Jd below ice Secretarial I

1---- Validity DO} approval3. Change in 3.1 Loan/Grant cancellation (partial or full) ICC Approval

Project 3.2 Loan/Grant cancellation (due to savings) DOF ApprovalFinancing 3.3 Loan/Grant reallocation (across loan/gram DOf Approval

allocation categories) .._------.3.4 Change in financing mix (between/among DOf Approval

10.811 and grant proceeds and government

'.eo un terpart)

2, A.l1 actions/decisions taken related thereto by the ICe, the Ice Secretariat, and the DOFwill be reported to the Office of the President, through the Office of the ExecutiveSecretary.

3. These modifications in. the level of approvals shall be effective irnmediately.

For information and guidance.

~ ""----SEC. CARLOS G. DOMINGUEZ

Department l)f.Financ~:1vr" t)

SEC. EMESTO M_ PERNIANational Bconomic and Development

Authority

OOB540

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INVESTMENT COORDINATION COMMITTEE

MEMORANDUMFor Heads of Departments! Agencies of the National Go,'ern m ent,

Government-Owned and Controlled Corporationsand All Others Concerned

From Secretary Carlos G, DorninguezDepartment of FinanceChair, ICe - Cabinet Committee (ICe-CC)

Secretary Ernesto M. PcrniaNational Economic Development AuthorityCc-Chair, ICe ~ CC

Subject: Ice Policy on Integrating the Harmonized Gender and DevelopmentGuidelines (HGDG) in the lee Process

Date:

1, Pursuant to Republic Act (RA) No. 7192 known as "Woman in. Development andNation Building Act", NEDA, with the assistance of the National Commission onWomen, is mandated to ensure that different government departments including Jt::;agencies and instrurnentalities, directly or indirectly, affect the participation of womenin national development and their integration therein. Furthermore. the ImplementingRules and Regulations (IRR) of RA 9710 or the Magna Carta of Wornen provides that(a) at leastfive percent (5%) of the total (lgency or LGU budget appropriations shallcorrespond to activities supporting GAD Plans and Programs; and (b) Gender-Responsiveness of ODA~fimded Projects (included and not included in the annualGeneral Appropriations AcO .~ NGAs and LGUs and other gO\'ct'1U/1CI1t

instrumenialities shall etlsw'e that five to thirty percent (5- 30%) offlm~js receivedfrom foreign governments and multilateral agencies are in support of' !.umde,'.responsive programs and projects.

2 Follow-ing these and in view of the Social Development Committee (SDC) ResolutionNo 1, Series of 2008 entitled "Adopting the Harmonized Gender and DevelopmentGuidelines (HGDG)~ Enjoining its Use by All National Line Agencies and LocaJGovernment Units, and Urging the Investment Coordination Committee (ICC) of theNEDA Board to Integrate GAD Concerns in the ICe Process", and the Official

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Development Assistance (ODA) - GAD Network'i request to include GAD in theevaluation criteria of programs and projects that are reviewed by the Ice and theDevelopment Budget Coordination Committee, the ICe-Cc, during its meeting on ()2August 2016, confirmed the earlier ICe-CC approval.' of the integration of the'HGDG for Project Development Implementation, Monitoring and Evaluation in th"ICe process

3. With' the adoption of the HGDG in tile ICe Process, the proponent agencies AJC'

required to accomplish and submit the Cender-Responsiveness Checklist (either theapplicable Sectoral GAD Checklist or the' Combined Generic Checklist fa)' {he Pro/eelIdentification and Design Stages) [copy attached], as additional JCC ProjectEvaluation (PE) Form, in addition to the ICe-PE Fonn Nos. 1 to r submitted to theIce Secretariat, together with the project proposal, for review. Said submission willbe validated. by the lee Secretariat to ensure gender-responsiveness of tht- proposedproj ect. and this will be included in the Project Evaluation Report.

4 To guide the agencies in evaluating the gender responsiveness of their proposedprojects, electronic copy of the complete HGDG and the following sector-spec. fiechecklists can be accessed at http://w3.neclagov.ph/hgdg/lef.t_NlyhtJ111:

cl. Agricultural and Agrarian Reform Projectsb. Natural Resource Management Projectsc. Infrastructure Projectsd. Private Sector Development Projectse. Education Projects1'. Health Projectsg. Housing and Settlement Projectsh. Women in areas under AImed CODDict.1. Justice ProjectsJ. rcr Projectsk. Microfinance Projects1. Labor and Employment Projectsm. Child Labor Projectsn. Migration ProjectsQ. Tourism Projectsp. Disaster Risk Reduction and Management Projectsq. Energy Projectsr. Fisheries Sectors Funding Facilitiest. Development Planning

2 015rvtav 2014 Letter from the Embassy of Canada in M~nila (as Convener of OD.A-GAD Network 2012-2034) to

the Secretaries of oOF, oBM and NEDA.) During the 06 June 2016 ICC-CC Meeting .• ICC PE Form Nos. 1 to 7 for Locally-fundE'd and Official Development Assistance (OOAl-asslsted proposed

. projects; ICC PE Form Nos. 1 to 8 for Public-Private Partnership proposed projects; C1nd I(C Form No~. 1 to '1b

fOI proposed f olnt Venture Atrangement

Page2of3W

5. The new ICe procedure shall apply immediately upon signi.ng of this Memorandum.

For immediate implementation.

_A~ !SEC. CARLOSG:@rNGUEZ

Department of Finflnc~...

...-----/"

SEC. E~NlA--National Economic and Development

Authority

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