The Department of Transportation (DOTr) and the Swedish government have signed a grant agreement to modernize the Philippine bus system through Swedfund, Sweden’s development finance institution.
The partnership aims to establish new national standards to make urban public transport safer and more inclusive for commuters. The grant will fund the creation of normative specifications for urban buses and minibuses, aligning international best practices with local transport conditions.
DOTr Secretary Giovanni Lopez said the agreement supports the goal of President Ferdinand Marcos Jr. to move more people through improved bus standards.
“President Marcos has made it clear that we must shift away from a car-centric transport model into a more inclusive and commuter-centric approach. By improving our bus systems and public transport infrastructure, we can transport more people, help them save time spent on the road, and alleviate vehicular tragic,” Lopez said.
The project will provide the agency with a unified bus classification system and functional performance-based specifications for various public utility bus categories.
The initiative aligns with the Public Transport Modernization Program and existing Philippine National Standards regarding vehicle safety and environmental performance.
Swedish Ambassador Anna Ferry said safe and reliable public transport is a shared priority for both nations.
“By working together on bus standards, we are combining international experience with local knowledge to improve everyday mobility for Filipino commuters. Sweden is proud to work alongside the Philippines in developing standards that are firmly grounded in local conditions and priorities,” Ferry said.
The Swedish government has supported Philippine transport infrastructure since 2018, with Swedfund providing about 10 million Swedish krona, or P65 million, in grants for the EDSA Bus Rapid Transit (BRT) development. These funds supported feasibility studies and technical reviews.
In 2025, Sweden increased its support with an additional 3 million Swedish krona, or over P19.5 million, to extend the EDSA BRT study and provide engineering designs and capacity-building initiatives.
