THE Philippines is set to secure a $235 million (₱14.75 billion) loan from the World Bank to tackle a growing jobs-skills mismatch and enhance the employability of technical-vocational (tech-voc) graduates across the country.
A project information document released recently indicates that the Washington-based lender’s board will vote on the International Bank for Reconstruction and Development financing for the Boosting Employability in Strategic Technical-Vocational Education and Training (TVET) Sectors (BEST) Project on December 18.
With an additional $23 million counterpart from the national budget, total project funding will reach $258 million.
The Department of Finance will handle the borrowing, while the Technical Education and Skills Development Authority (TESDA) will spearhead implementation.
The initiative aims to improve access, learner certification, and market relevance within priority industries such as construction, agri-fisheries, information and communications technology, and semiconductor manufacturing.
The World Bank warned that persistent skills shortages and foundational learning deficiencies—highlighted by past international assessments—threaten national productivity and inclusive growth.
Furthermore, climate-related shocks and evolving industry demands underscore the urgent need for training in green construction, sustainable agriculture, and digital technologies.
To address these hurdles, the BEST Project will fund foundational skills assessments, remedial courses, training stipends, and a skills passport system.
Targeted beneficiaries will include vulnerable learners, 4Ps members, out-of-school youth, and women entering non-traditional fields.
The financing will also upgrade TESDA facilities, expand enterprise-based training, and introduce micro-credentials.
The World Bank will track key outcomes, including certification rates and post-graduation employment within six months.
This financing coincides with two other major World Bank loans slated for December approval: a $1-billion Growth and Jobs Development Policy Loan and an $800-million Disaster Risk Management Loan.