Philippines grapples with financial obstacle to purchase U.S. F-16 fighters

Since the U.S. supported the expected sale of 12 F-16 warrior jets to the Philippines in 2021, Manila has been battling with the question of how to finance the costly purchase.

“It’s still excessively expensive, so we need to figure out how to have the option to finance it in the long haul. We need to change our [economic] development,” Jose Manuel Romualdez, Philippine ambassador to the U.S., told Nikkei Asia in a meeting this month.

Among the solutions the nation is considering incorporate switching to purchases of secondhand airplane or getting financial guide from Washington.

At the point when the sale was declared in June 2021, the U.S. estimated the cost of the airplane and related hardware at $2.43 billion, the greater part of the Philippines’ yearly defense spending plan. The airplane are expected to actually take a look at China’s air and oceanic operations in the South China Sea.

It is “possible” to drop the conditional arrangement to purchase new F-16s from the U.S. furthermore, to secure secondhand airplane from a third country such as Denmark, Romualdez said.

“[F-16s] were supposed to be accessible from Denmark. I think there are at least twelve F-16s, scarcely used airplane,” the ambassador said. He noticed that Manila would have to alter laws to permit using the public financial plan for secondhand gear.

Yet, the Danish warrior jets are probably not going to go to the Philippines. In October, the U.S. State Division got the transfer free from the NATO partner’s F-16 airplanes to Argentina, saying in a post on X, previously known as Twitter: “The transfer reaffirms our close defense tie and steadfast support to Argentina’s aviation based armed forces modernization efforts.”

The U.S. approval was expected before Denmark transferred the American-made airplane to a third country.

The U.S. decision mirrored Washington’s direness to respond to China’s developing impact in its terrace in the midst of media reports that Beijing had made an elective proposal of warrior airplanes toward the South American country.

Notwithstanding Argentina, Copenhagen chose to give the airplane to Ukraine to help its fight against Russia, which would essentially exhaust Denmark’s stock of F-16 fighters.

So one more choice for Manila would be U.S. financial guide. “We are trusting that [the U.S.] would have the option to give us some sort of assistance, so that we would have the option to modernize our military almost as fast as possible,” Romualdez said. “Because these are crucial times, the sooner we finish things, the better.”

The ambassador’s supplication for financial guide comes as the Philippine Flying corps prepares to choose new warrior airplane soon, a significant piece of the work to modernize its military.

The Philippine News Organization reports that Sweden has offered its Saab JAS 39 Gripen multi-job airplane, which is accepted to be one of the two strong competitors alongside American F-16 airplanes.

The Philippine military spread out a 15-year modernization program in 2012 to redesign its defense hardware, and the new acquisition of Japanese-created radars that can follow intrusions as much as 300 kilometers is a step that way. The program is supposed to go on past 2027 fully intent on ensuring that the Philippines has an able and present day military.

Patrick Cronin, seat for Asia-Pacific security at the conservative research organization Hudson Institute, contended that it is past opportunity to shift a U.S. security assistance reserve, known as Unfamiliar Military Financing (FMF), around the Indo-Pacific as China has turned into the most serious long haul contender.

“U.S. unfamiliar military assistance needs to match U.S. strategic priorities,” Cronin said. “[Philippine President Ferdinand Marcos Jr.] has moved fast to solidify ties with the US, and the Biden administration needs to respond just as fast to seize an incredible chance for reviving an indispensable coalition. The Asia-Pacific has for quite some time been short-changed on the FMF.”

The FMF, a tactical assistance account oversaw by the State Division, provides grants or credit assistance to unfamiliar governments for the purchase of U.S. defense hardware and military preparation.

While the U.S. as of late added Taiwan to the FMF beneficiary list, most of the asset is given to the Center East one year from now. President Joe Biden’s administration planned to distribute almost 90% of the FMF asset to the Center East, including Israel, in its presidential financial plan request for fiscal 2024.

Eric Sayers, a senior individual at the American Enterprise Institute, said that a forthcoming crisis financial plan bill for security assistance to Israel and Ukraine would be a significant step forward to steer the FMF. The bill, which has been held up over conservative demands for harder line control measures, includes $2 billion toward the Indo-Pacific as well.

“Passing a supplemental spending bill in January is key to upgrading the FMF for Asia over the course of the following five years. A significant part of the cash will go to Taiwan, which is progressive in itself, yet $400 [million] or $500 million will go to the Philippines also,” said Sayers, a long-lasting promoter for increasing FMF to the Indo-Pacific.

“This would be a distinct advantage for Manila’s capacity to respond to compulsion in their oceanic space and send a strong signal of Washington’s resolve,” Sayers said.

The State Office and Pentagon declined to remark on future financial assistance to Manila.

However expansive support exists in Congress to address the developing danger posed by China, the Senate quit any pretense of supporting the bill before the year’s over. Congress returns to session toward the beginning of January, yet vulnerability looms over the destiny of the bill as partisan politics intensify before the U.S. presidential political decision in November.