The Economy and Development Council (ED Council) has approved P105.7 billion for the Public-Private Partnership for School Infrastructure Project Phase III (PSIP III), the Department of Economy, Planning, and Development (DEPDev) said Friday.

In a news release, DEPDev said the ED Council, chaired by President Ferdinand R. Marcos Jr., approved the funding during its meeting on Thursday as part of efforts to boost inclusive growth and investments in human capital.

Under PSIP III, which will be implemented by the Department of Education (DepEd), around 16,459 new classrooms will be built in 1,095 existing schools in Luzon from March 2027 to March 2028. The project is expected to benefit at least 800,000 learners annually.

The program will use a solicited public-private partnership modality and a Build-Lease-and-Transfer contractual arrangement to address delays linked to traditional procurement methods. It will also complement DepEd’s plan to construct about 25,000 classrooms under this year’s national budget.

“Addressing critical infrastructure gaps in education is central to sustaining growth and achieving our development targets. By investing in classrooms that strengthen learning outcomes, we are laying the foundation for higher productivity, stronger human capital, and inclusive growth,” DEPDev Secretary and ED Council Vice-Chair Arsenio Balisacan said.