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MANILA, Philippines 鈥� The long-delayed Mindanao Railway Project (MRP) will proceed despite the lack of funding, the Department of Transportation (DOTr) said on Tuesday.

Transportation Secretary Jaime Bautista said various pre-construction activities in Davao City, Digos, and Tagum will be conducted while the department seeks other funding sources after China canceled its financial commitment for the project.

鈥淲e decided to pursue Phase 1 of the MRP despite the withdrawal of prior funding commitment from the government of China. While looking for funding sources, various pre-construction activities show we are not dropping the project,鈥� Bautista said in a statement.

Bautista said that the DOTr is already in talks with the finance department about looking for alternative funding sources, such as official development assistance from foreign governments and international financial institutions.

Land acquisitions are also already in progress along the target alignment from Tagum to Digos via Davao City.

He added that resettlement sites for displaced residents have already been identified with villages in different stages of MRP.

鈥淚n fact, the Tagum Train Village is scheduled for turnover to its future residents in the coming months. Livelihood programs are also being prepared for affected families,鈥� Bautista said.

The MRP Phase 1, which costs P81.6 billion, is 100.2 kilometers long and covers eight stations.

The DOTr said that once operational, the railway听 can serve about 122,000 passengers daily.

It will also reduce the travel time from Tagum City to Digos City to one hour from the current three hours.

The 1,544-kilometer MRP aims to connect Davao, General Santos, Cagayan de Oro, Iligan, Cotabato, Zamboanga, Butuan, Surigao, and Malaybalay and further spur economic growth in Mindanao.