(Bloomberg) — The Philippines plans to buy 40 new multi-role fighter jets to boost its military capabilities, its defense chief said Thursday, amid recent hostilities with China over its skies.
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“We have decided that acquisitions are for capabilities that can really make a difference,” Defense Minister Gilberto Teodoro told a congressional hearing on his agency’s proposed 2025 budget. To have credible defense provisions, “we will have a minimum of 36 aircraft,” equivalent to one and a half squadrons, plus four in reserve, he said.
Manila is seeking to bolster its air force as tensions with Beijing spill over into the disputed South China Sea. Earlier this year, President Ferdinand Marcos Jr. approved a military modernization plan that will see the government spend $35 billion over 10 years aimed at bolstering external defenses.
Teodoro also said during the hearing that the administration will pursue legislation to “creatively” finance the acquisitions, as existing law limits external borrowing for each defense purchase to $300 million.
“The banking system with a lot of liquidity at the moment should certainly really help,” he said. “Any addition to our credible deterrent posture would reduce country risk and attract more foreign direct investment.”
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