PREFACE In response to a request from the Government of the Republic of the Philippines, the Government of Japan decided to conduct the Study for the Socio- Economic Reconstruction and Development of Conflict-Affected Areas in Mindanao (SERD CAAM) under the Japan-Bangsamoro Initiatives for Reconstruction and Development (J-BIRD) and entrusted it to the Japan International Cooperation Agency (JICA). JICA selected and dispatched a study team headed by Mr. Tsuneo Bekki (in 2007), Dr. Hani Abdel-Halim (2007-2008) and Dr. Asaichi Miyakawa (2008-2009) from February 2007 to November 2009. The study team held close discussions with the people and officials concerned in the CAAM as well as stakeholders concerned to the study, and conducted study activities such as broad field surveys on Barangay level, implementation of On-the- Spot Assistance (OSA) and Quick Impact Project (QIP), constructions of three (3) Databases, and formulation of the Socio Economic Development Plan (SEDP). Upon returning to Japan, the study team prepared this final report to summarize the results of the Study. I sincerely hope that this report will contribute to the reconstruction and further development of the CAAM, with the end in view of promoting the consolidation of peace in Mindanao. Finally, I wish to express my sincere appreciation to the people, officials and stakeholders in the Philippines for their vital cooperation extended to the study team. November 2009, Toshiyuki Kuroyanagi Director General Economic Infrastructure Development Department Japan International Cooperation Agency CONFLICT AFFECTED AREAS (Pursuant to the implementation of the GRP- MILF Tripoli Agreement on Peace signed on 22 June 2001) MINDANAO ISLAND Legend: - ARMM - Conflict Affected Areas inside ARMM - Conflict Affected Areas outside ARMM BASILAN SULU TAWI-TAWI STUDY AREA LOCATION MAP OF CONFLICT-AFFECTED AREAS IN MINDANAO (Source : OPAPP) The Study for Socio-Economic Reconstruction and Development of FINAL REPORT Conflict-Affected Areas in Mindanao in the Republic of the Philippines SOCIO-ECONOMIC RECONSTRUCTION AND DEVELOPMENT FOR CONFLICT-AFFECTED AREAS IN MINDANAO (SERD-CAAM) TABLE OF CONTENTS Location Map Table of Contents List of Tables List of Figures List of Photos Acronyms and Abbreviations Page PART I MAIN BODY CHAPTER 1 INTRODUCTION .............................................................................................. 1-1 1.1 BACKGROUND ............................................................................................................ 1-1 1.1.1 Brief History of the Mindanao Conflict ...................................................................... 1-2 1.1.2 Key Causes of Conflict in Mindanao .......................................................................... 1-4 1.1.3 Results of Conflict ...................................................................................................... 1-5 1.1.4 Incidence of Conflict ................................................................................................... 1-5 1.1.5 The Impacts of Conflict .............................................................................................. 1-6 1.1.6 Regional Impact of the Mindanao Conflict and its Resolution ................................... 1-8 1.2 OUTLINE OF THE STUDY (THE SERD- CAAM) ..................................................... 1-8 1.2.1 Objective of the SERD-CAAM .................................................................................. 1-8 1.2.2 Scope of the SERD-CAAM ........................................................................................ 1-8 1.2.3 Implementation System of the SERD-CAAM ............................................................ 1-9 1.3 THE STUDY AREA ...................................................................................................... 1-10 1.3.1 Study Limitations ........................................................................................................ 1-12 CHAPTER 2 MINDANAO PROFILE AND OPPORTUNITIES ......................................... 2-1 2.1 BRIEF SUMMARY OF MINDANAO .......................................................................... 2-1 2.2 MINDANAO DEMOGRAPHY AND LAND AREA ................................................... 2-3 2.2.1 Population and Growth Rate ....................................................................................... 2-3 2.2.2 Land Area and Political Subdivisions ......................................................................... 2-4 2.2.3 Cultural Milieu: Ethnic Groupings and Religions....................................................... 2-6 2.3 MINDANAO PHYSICAL PROFILE ............................................................................ 2-7 2.3.1 Topography and Geology ............................................................................................ 2-7 i The Study for Socio-Economic Reconstruction and Development of FINAL REPORT Conflict-Affected Areas in Mindanao in the Republic of the Philippines 2.3.2 Climate ........................................................................................................................ 2-8 2.3.3 Biological Diversity .................................................................................................... 2-8 2.3.4 Land Cover, Land Use and Vegetation ....................................................................... 2-8 2.4 MINDANAO RESOURCES .......................................................................................... 2-10 2.4.1 Water Resources ......................................................................................................... 2-10 2.4.2 Production Land Use ................................................................................................... 2-10 2.4.3 Protection Land Use .................................................................................................... 2-15 2.4.4 Built-Up Areas ............................................................................................................ 2-16 2.4.5 Major Natural Disaster Prone Areas ........................................................................... 2-16 2.5 GROSS REGIONAL DOMESTIC PRODUCT (GRDP) .............................................. 2-20 2.5.1 Background ................................................................................................................. 2-20 2.5.2 GDP of the Philippines by Industrial Origin ............................................................... 2-20 2.5.3 Comparative Growth Rates of Regional Economy ..................................................... 2-22 2.5.4 GRDP of the Five Regions in Mindanao by Industrial Origin .................................... 2-23 2.5.5 Per Capita GRDP of the Five Regions in Mindanao ................................................... 2-24 2.6 TRANSPORTATION SYSTEMS AND LOGISTICS INFRASTRUCTURE .............. 2-24 2.6.1 Transportation Mode ................................................................................................... 2-25 2.6.2 Road Networks in Mindanao ...................................................................................... 2-26 2.6.3 Seaports in Mindanao .................................................................................................. 2-27 2.6.4 Airports in Mindanao .................................................................................................. 2-27 2.7 UTILITY INFRASTRUCTURE .................................................................................... 2-30 2.7.1 Water Sources ............................................................................................................. 2-30 2.7.2 Solid Waste Disposal .................................................................................................. 2-30 2.7.3 Energy and Electrification in Mindanao ..................................................................... 2-30 2.8 OTHER FACILITIES .................................................................................................... 2-34 2.8.1 Communication and Postal Service Facilities ............................................................. 2-34 2.8.2 Tourism and Recreation Facilities .............................................................................. 2-34 2.9 SPATIAL FRAMEWORKS IN MINDANAO .............................................................. 2-34 2.9.1 International Links of Mindanao ................................................................................. 2-34 2.9.2 National Links of Mindanao ....................................................................................... 2-35 2.10 PRIORITY PROJECTS UNDER MINDANAO SUPER REGION .............................. 2-37 2.10.1 Roads ........................................................................................................................ 2-37 2.10.2 Bridge ....................................................................................................................... 2-37 2.10.3 Airports .................................................................................................................... 2-37 2.10.4 Ports .......................................................................................................................... 2-38 2.10.5 Irrigation ................................................................................................................... 2-38 2.10.6 Energy Reliability ...................................................................................................