The Monetary Board of Philippines’ central bank, Bangko Sentral ng Pilipinas (BSP), has approved a $436.24 million (PhP 18.75 billion) loan from the Japan International Cooperation Agency (JICA) to enhance MRT systems in Metro Manila. The funds, part of an official development assistance (ODA) loan from JICA, will be used to enhance the capacities of LRT lines 1 and 2 by extending the lines from Baclaran to Bacoor in Cavite and from Santolan to Masinag. The 40-year loan, approved in principle in May 2013, will carry a 0.2 per cent interest rate per year for non-consulting services, 0.01 per cent annual interest for consulting services, and a 0.1 per cent per annum interest rate for the commitment fee. It will also have a grace period of 10 years.