The Government of Japan is open to studying funding support for the Mindanao Railway Project if formally requested by the Philippine government. The project remains without a confirmed funding source, while the proposed 2027 national budget reportedly contains no allocation for the railway.
The project was previously expected to receive Chinese financing, but the Philippines is now considering alternative funding sources and mechanisms. The railway is planned to initially connect Tagum, Davao and Digos, with the wider network intended to improve connectivity and support economic activity across Mindanao. Preparatory activities, including right-of-way acquisition and relocation of at least 159 families in the Davao region, are underway, although implementation timelines remain dependent on securing financing.