Official Development Assistance (ODA) is an important source of development financing for the Philippines. Republic Act No. 8182 or the Official Development Assistance Act of 1996 defines ODA as a loan or grant contracted with foreign governments (with whom the country has diplomatic or trade relations) and international or multilateral lending institutions. ODA contains a grant element of at least twenty-five percent (25%) and is intended to promote sustainable social and economic development and welfare.
