"Just to get, for example, multi-role fighters, one dozen of those will not make any difference at all. So, the minimum for us will be 36 aircraft, which only a squadron and a half. But that would be credible. Plus four in reserve because 80 percent in service rate is a good standard," Teodoro said, as quoted by GMA News.
The minister emphasized the need for "faster and more lethal" jets compared to the South Korean FA-50s currently in service with the Philippine air force. The procurement plan seeks financing schemes that allow payments to be spread out over several years.
Philippine government is exploring the option of syndicated loans from private banks. Teodoro has already held consultations with the Bankers Association of the Philippines, the Central Bank, and the Department of Finance to obtain the necessary approvals for long-term tenders. He also urged lawmakers to draft legislation to remove existing financial restrictions on defense acquisitions.
In July, US Secretary of State Antony Blinken announced that the US would provide $500 million in financial assistance to enhance the Philippines' defense capabilities. Additionally, Defense Secretary Lloyd Austin mentioned plans to more than double investments under the Enhanced Defense Cooperation Agreement (EDCA), with $128 million allocated this year for key infrastructure projects in the Philippines.
In February 2023, Manila designated four additional military bases for US forces under the 2014 EDCA, bringing the total number to nine. These bases are strategically positioned, with many located near the contested waters of the South China Sea and Taiwan.