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July 03, 2000


ARRANGEMENT BETWEEN THE GOVERNMENT OF THE REPUBLIC OF THE PHILIPPINES AND THE GOVERNMENT OF THE REPUBLIC OF KOREA FOR THE PROJECT FOR THE ESTABLISHMENT OF THE KOREA-PHILIPPINES FRIENDSHIP HOSPITAL IN CAVITE

The Government of the Republic of Korea and the Government of the Republic of the Philippines (hereinafter referred to as "the Parties"),

Bearing in mind the friendly relations existing between the two countries and their peoples,

In accordance with the Agreement on Economic and Technical Cooperation between the Government of the Republic of Korea and the Government of the Republic of the Philippines signed on February 3, 1983, and entered into force on June 13, 1985,

Recognizing the benefits that can be derived from closer cooperation by both countries in the field of public health through the Project for the Establishment of the Korea-Philippines Friendship Hospital (hereinafter referred to as the "the Project") in the Republic of the Philippines,

Have agreed as follows:

ARTICLE 1

1. The Government of the Republic of Korea and the Government of the Republic of the Philippines shall jointly set up a Friendship Hospital in Cavite Province of the Philippines.

2. The objective of the Project is to contribute to the socio-economic development of the Philippines by providing medical services to the people of Cavite Province through the establishment a 100-bed hospital.

3. The hospital shall be a non-profit organization with maximum autonomy in budgeting, staffing, procurement, pricing and any other administrative activities. The medical services dispensed by the hospital will be readily available to the Filipino people at no charge or at the lowest cost possible.

ARTICLE 2

The duration of the Project shall be from the date of signing this Arrangement to December 31, 2001.

ARTICLE 3

1. The Government of the Republic of Korea shall, in accordance with the laws and regulations of the Republic of Korea, provide a grant of up to three-million and eight-hundred-thousand US dollars (US$3,800,000.00) for the Project, which shall cover construction of hospital buildings, provision of equipment, invitation of Philippine trainees to Korea, and the dispatch of Korean experts and Korean Overseas Volunteers to the Philippines.

2. The Government of the Republic of Korea shall select a contractor for the construction of the hospital buildings through the Korean Embassy in Makati City of Metro Manila, in close cooperation with the Philippine Government.

ARTICLE 4

1. The Government of the Republic of the Philippines shall provide the land necessary for the construction of the hospital buildings and the expenses needed for administration and operation of the hospital.

2. The Government of the Republic of the Philippines shall bear the costs of unloading, inland transport, and insurance for all equipment and supplies delivered by the Government of the Republic of Korea from the port of discharge to the Project sites, as well as bear the costs of harbor duties, import duties and other public charges that will be imposed on all the equipment and supplies.

3. The Government of the Republic of the Philippines, based on its existing preferential treatment, shall grant the Korean expert entry and re-entry visas, alien employment permit, free of charge during the period of his stay or her stay, and shall exempt the said Korean expert from the alien employment permit if his or her stay shall not exceed thirty (30) days by issuing the Certificate of Exemption upon proper filing of application.

4. The Government of the Republic of the Philippines shall provide the infrastructure required for the construction of the hospital buildings, such as electricity, water supplies, drainage, telephone lines, etc.

5. The Government of the Republic of the Philippines shall provide soil testing, location plan and site development plan for the land of the hospital buildings before the commencement of design work.

6. The Government of the Republic of the Philippines shall provide assistance necessary to expedite the formalities of those exemptions listed in this Article.

ARTICLE 5

1. The Government of the Republic of Korea shall charge the Korea International Cooperation Agency, under the Ministry of Foreign Affairs and Trade, with the implementation of the Project specified in this Arrangement.

2. The Government of the Republic of the Philippines shall charge the Provincial

Government of Cavite with the implementation of the Project specified in this Arrangement.

ARTICLE 6

Detailed plans for the Project implementation will be executed in accordance with the "Record of Discussions Concerning the Project for the Establishment of the Korea-Philippines Friendship Hospital in Cavite" that was signed on September 16, 1999 between the Korea International Cooperation Agency and the Provincial Government of Cavite. The "Record of Discussions" will be attached as an annex to this Arrangement.

ARTICLE 7

Any modification or amendments to this Arrangement shall be proposed in writing through diplomatic channels and agreed on through consultation or negotiation between the Parties.

ARTICLE 8

1. This Arrangement shall enter into force on the date of later written notification by either Party, through diplomatic channels, indicating compliance with the internal requirements for its entry into force. Pending compliance with the internal requirements for this Arrangement's entry into force, the Parties hereby agree to give provisional effect thereto.

2. This Arrangement shall remain valid until December 31, 2001 unless either of the Parties requests its extension with a written notice given three months prior to the expiration of this Arrangement.

IN WITNESS WHEREOF, the undersigned, being duly authorized thereto by their respective Governments, have signed this Arrangement.

Done and signed on July 3, 2000, in duplicate in English.

FOR THE GOVERNMENT OF
THE REPUBLIC OF THE
PHILIPPINES
FOR THE GOVERNMENT
THE REPUBLIC OF KOREA


(Sgd.)
HON. DOMINGO L. SIAZON, JR.

(Sgd.)
SHIN SUNG-OH

Secretary of Foreign Affairs
Department of Foreign Affairs
Republic of the Philippines
Ambassador Extraordinary and
Plenipotentiary of the Republic
of Korea to the Republic of
Philippines


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