Australia shipbuilder closes in on $600m Philippine defense deal

Manila resumes financial aid talks with countries that backed UN drug war probe

20200305 PHILIPPINE NAVY OFFSHORE PATROL VESSEL

 Austal's proposed vessel for the Philippine Navy (Illustration courtesy of Austal)

CLIFF VENZON, Nikkei staff writer

MANILA -- Australian shipbuilder Austal's proposed $600 million sale of patrol vessels to the Philippine Navy has cleared a major hurdle after Manila agreed to resume loan negotiations with countries that backed a United Nations probe of President Rodrigo Duterte's drug war.

Executive Secretary Salvador Medialdea lifted the suspension of negotiations for loans and grants from 18 countries that endorsed a resolution in July calling for an investigation of Duterte's anti-narcotics crackdown, which has killed thousands of suspects and alarmed human rights activists. The suspension was lifted in a memo to government agencies on Feb. 27 and made public on Wednesday.

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