The proposed Mindanao Railway could move closer to implementation in 2027 as the Department of Transportation (DOTr) seeks financing from foreign partners to revive the long-delayed infrastructure project. India and France are among the countries being considered as potential sources of funding, although financing has yet to be secured.
Acting Transportation Secretary Giovanni Lopez said the government had discussed possible financial support with India in September and presented the railway proposal to other countries. France has also expressed interest, offering another possible avenue for a project intended to improve connectivity across Mindanao.
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Foreign Funding Options Emerge After China Loan Setback
The government had initially expected China to finance the railway, but the arrangement did not proceed. In 2023, the Philippines withdrew its request for official development assistance after Beijing failed to act on the proposed loan, prompting the DOTr to explore other potential funding sources.
Despite the setback, Lopez said the project continues to draw interest from prospective investors and lenders. The agency is targeting the completion of bidding in 2027, while efforts to secure financing and advance preparations remain key steps toward moving the railway forward.
The planned network would span 1,544 kilometers across Mindanao, connecting key areas on the island. Its first phase is designed to cover 102 kilometers, with eight stations serving Tagum, Davao, and Digos cities.
Right-of-Way Acquisition Remains a Key Priority
Alongside discussions with potential funders, the DOTr is working to complete right-of-way acquisitions needed for the project. Lopez said the absence of condominium developments along the proposed route could make land acquisition less complicated, potentially making the railway more attractive to prospective financiers.
Once operational, the first phase is expected to reduce travel time between Tagum and Digos from three hours to one. It is also projected to accommodate 122,000 passengers daily, potentially giving commuters another transport option between key urban areas in southeastern Mindanao.
The project’s progress will depend on more than interest from overseas lenders. Financing arrangements, land acquisition and the completion of bidding will all be important in determining whether the proposed railway advances toward construction.
If delivered as planned, the Mindanao Railway could reshape daily travel for commuters, workers and businesses by reducing journey times and improving links between cities. But until funding is secured and implementation moves forward, its projected benefits remain a plan rather than a reality. The next milestones will determine whether this long-delayed project can translate into more reliable transport and stronger economic connections for communities across Mindanao.
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