President Duterte fully restores key pact that allows US troops in the Philippines

Philippine President RodrigoDutertehas restored a crucialpactgoverning the presence ofUStroops in the Southeast Asian nation, the two countries' defence ministers said on Friday, reversing a decision that had caused increasing concern in Washington and Manila.

The Visiting Forces Agreement (VFA) provides rules for the rotation of thousands ofUStroops in and out of the Philippines for war drills and exercises. It has assumed additional importance as the United States and its allies contend with an increasingly assertive China.

Philippine Defence Secretary Delfin Lorenzana said he wasunsure whyDutertehad reversed himself but made the decision after meetingUSDefense Secretary Lloyd Austin in Manila on Thursday.

Harry Roque,Duterte's spokesperson, later said the president's decision was "based on upholding thePhilippines'strategic core interest...and clarity ofUS position on its obligations and commitments under the MDT (Mutual Defense Treaty)."

Duterte's decision won't change much on the ground as thepacthad not been terminated but it provides stability for both countries.

"This provides certainty for us going forward, we can do long-range planning and do different types of exercises," Austin said during a news conference with his Philippine counterpart.

The Philippines is aUStreaty ally, and several military agreements are dependent on the VFA.

Dutertevowed to terminate thepactafter the United States denied a visa to a Philippine senator who is an ally of the president. But he had repeatedly pushed back the expiration date, the last time last month, maintaining it until the end of the year.

For the United States, having the ability to rotate introops is important not only for the defence of the Philippines, but strategically when it comes to countering China's assertive behaviour in the region.

"(Duterte's decision) opens up significant possibilities for strengthening the alliance that were otherwise closed," said Greg Poling, with the Center for Strategic and International Studies.

There are long-standing tensions between the Philippines and China over disputed waters in the South China Sea.

The United States this month repeated a warning to China that an attack on Philippine forces in the South China Sea would trigger a 1951US-Philippines mutual defence treaty.

There are, however, still questions aboutDuterte's unpredictability.

"Some of the celebration is premature... (the VFA) will continue to be under threat so long asDuterteremains president," said Aaron Connelly, with the International Institute for Strategic Studies.

Philippine presidential elections are set for 2022 and whileDuterteis barred by the constitution from seeking re-election, his party has been encouraging him to run again for office, as vice president.