THE World Bank is currently not pursuing Packages 2 and 3 of the Cebu Bus Rapid Transit (CBRT) project as it recommended to repackage or reassess the project’s approach before the loan for Package 1 expires in 2026.
The primary concern is the long-standing issues and delays that have prevented the full utilization of the project’s loan funds. However, the World Bank is open to reevaluating and resuming these later phases once Package 1 is completed smoothly.
Cebu City Mayor Nestor Archival was briefed on the project development during a coordination meeting on Thursday, Oct. 23, 2025, with John Richardson, urban transport specialist of the World Bank; Department of Transportation (DOTr) officials represented by Norvin Imbong, CBRT project manager; and members of the CBRT City Hall team.
Why it matters
The CBRT is the country’s first bus rapid transit system, designed to provide a faster, cleaner and more organized mode of public transport in Metro Cebu.
However, delays, land acquisition problems and design changes have slowed the project for years, thereby threatening the full use of the World Bank loan.
Richardson said the World Bank is not currently pursuing Packages 2 and 3 due to these long-standing issues though he clarified that the bank remains supportive of the project.
“The World Bank remains ready to support the project, especially if the government intends to complete the entire CBRT system,” Richardson said.
He added that the remaining phases could also be implemented under a Public-Private Partnership (PPP) to speed up progress and ease the government’s financial burden.
Where the project stands
Package 1 costs P990 million and covers the route from the Cebu South Bus Terminal (CSBT) to Fuente Osmeña Circle.
It was modified after the removal of civil works in front of the Capitol building, a decision made under former governor Gwendolyn Garcia.
The DOTr reports that 91 percent of the contract amount has been paid to the contractor, backed by consultant certifications of construction quality and progress.
For road right-of-way (RROW) acquisition, the DOTr allocated P8 billion, excluding the segment from Mambaling to Bulacao, which is part of another package.
The DOTr has assured that funds for RROW payments are available and will be downloaded to the local government unit once the required ownership documents from affected property owners are completed.
So far, 55 lots are affected, and only 31 need final documentation for compensation.
Archival said he is determined to complete the acquisition of the remaining properties.
“We need to push this because just imagine — a lot of money is there and we’re not using it,” he said.
The City Hall CBRT team has been instructed to fast-track lot documentation for submission to the Department of Public Works and Highways and the Office of the Solicitor General to hasten payments.
Package 2 of the CBRT will connect the South Road Properties (SRP) to Mambaling via N. Bacalso Ave., linking with Package 1, which runs from the CSBT to the Capitol area.
Key milestones
Dry run and test runs: Prior to full operations, CBRT team conducted test runs to validate lane discipline, signaling and fare integration, with lessons fed into the final launch plan earlier this month.
Inauguration and start of service: The plan included an official inauguration and the start of limited operations for Package 1, serving as a proof-of-concept for wider expansion.
Traffic management for launch: Anticipated traffic adaptation measures included additional signage, temporary lane closures and enhanced personnel to ensure a smooth rollout.
What’s next
Partial operations for Package 1 are scheduled to begin on Nov. 5, with President Ferdinand “Bongbong” Marcos Jr. expected to lead the inauguration.
The initial route will cover the stretch from the CSBT to Osmeña Blvd.
When fully completed, the 13-kilometer CBRT corridor will connect SRP to Cebu IT Park through 17 stations.
Big Picture
Originally conceptualized in the 1990s, the CBRT project has been delayed by political disputes, design revisions and bureaucratic hurdles despite a $141-million World Bank loan.
Construction began only in 2022, but issues like RROW problems and local government suspensions have continued to slow progress.
For now, the World Bank’s message is clear: Cebu needs to deliver on Package 1 first — to prove that the rest of the system can still move forward.