Caritas Philippines criticizes Maharlika Investment Fund for financing large-scale mining

Caritas Philippines, the social action arm of the Catholic Church, has strongly criticized the Maharlika Investment Corporation (MIC) for allocating funds to finance large-scale mining, calling it a betrayal of public trust and a threat to the environment and communities.

The sovereign wealth fund recently signed a binding agreement to provide a $76.4 million bridge loan to Makilala Mining Company Inc., the local subsidiary of Australia-based Celsius Resources Inc.

The loan will help with the engineering design and feasibility study for the Maalinao-Caigutan-Biyog Copper-Gold Project in Kalinga province. It will also help Makilala Mining meet the financial requirements set out in its agreement with the Philippine government to share mineral production.

Bishop Jose Colin Bagaforo, president of Caritas Philippines, denounced the move, stating that it contradicts the fund’s supposed goal of fostering economic growth while instead endangering communities and undermining responsible environmental stewardship.

“This move by the Maharlika Fund betrays the Filipino people’s trust,” Bishop Bagaforo said. “Instead of supporting industries that promote development and sustainability, the government is channeling resources into extractive projects linked to displacement, deforestation, and human rights abuses.”

Caritas Philippines has consistently opposed large-scale mining due to its adverse social and environmental consequences. Several dioceses across the country have reported cases of indigenous communities losing their ancestral lands, contamination of water sources, and the destruction of ecosystems due to irresponsible mining practices.

Bishop Gerardo Alminaza, vice president of Caritas Philippines, questioned the ethical implications of such investments. “How can we claim to work for progress when we fund an industry that destroys the very resources God has entrusted to us?” he said.

The Philippine government established MIC to manage the nation's sovereign wealth fund. In response to the controversial financing decision, Caritas Philippines urged the government to reconsider its priorities and redirect investments toward industries that promote community well-being without harming the environment.

“Economic development should not come at the cost of human dignity and environmental degradation,” Bishop Bagaforo emphasized.

Caritas Philippines continues to advocate for sustainable development that upholds social justice and ecological responsibility, calling on policymakers to ensure that national resources are used for the genuine benefit of the Filipino people.