The Philippine government is turning to private sector participation to revive the long-delayed Mindanao Railway Project (MRP) after stepping away from its initial plan for Chinese-funded development. According to the Mindanao Development Authority (MinDA), the Department of Transportation (DOTr) is currently reassessing the railway’s design and financing framework, now considering a Public-Private Partnership (PPP) model. The original blueprint—a single-track diesel-powered system—is also under review for potential realignment and electrification in response to public concerns.

While a definitive project timeline is still pending, both national and local authorities continue to prioritize the MRP. Following the cancellation of Chinese Official Development Assistance (ODA) in late 2023, the government has opened the door to unsolicited proposals, and early signs suggest significant foreign investor interest. The government now leans toward a PPP structure rather than acquiring new debt. If this approach moves forward, fare control mechanisms will be implemented to ensure affordability for commuters. The Tagum-Davao-Digos segment alone is projected to cost PHP 83 billion (US$1.42 billion) and aims to slash travel times from 3.5 hours to just 1.5 hours once completed.