The Philippine and Japanese governments signed a P8.175 billion loan agreement on Wednesday to fund the comprehensive rehabilitation and maintenance of the Metro Rail Transit Line 3 (MRT-3).
The second supplemental loan aims to restore the aging transit system to its original “as-designed” specifications, ensuring long-term reliability and paving the way for future capacity expansion.
The project involves a massive technical overhaul, including the replacement of mainline rails and the general refurbishment of 72 light rail vehicles.
Key subsystems—such as signaling, power supply, overhead catenary lines, communications, and station equipment—will also be restored or upgraded.
Foreign Affairs Secretary Ma. Theresa Lazaro and Japanese Ambassador Endo Kazuya formalized the agreement at the Department of Foreign Affairs.
“Japan remains firmly committed to standing alongside the Philippines as a trusted partner in development and security,” Ambassador Endo said during the signing, expressing hope that the project would further strengthen the bilateral relationship.
The signing was witnessed by Japan International Cooperation Agency (JICA) Chief Representative Baba Takashi and Acting Transportation Secretary Giovanni Lopez.
According to Lopez, the rehabilitation is targeted for completion by October 2027. He noted that the upgrades are essential for the 400,000 daily commuters who rely on the line, which recorded over 140 million riders in 2025.
Once completed, the Department of Transportation expects the project to provide a significantly “better commuting experience” through improved safety and reduced travel disruptions.