Gov’t starts loan program for SMEs

UNTV News and Rescue
Department of Trade and Industry Secretary Ramon Lopez

Department of Trade and Industry Secretary Ramon Lopez

The Department of Trade and Industry’s “Programang Pondo para sa Pagbabago at Pag-asenso” (P3) targets the 30 poorest areas in the country.

Trade secretary Ramon Lopez said they are just waiting for the initial P1 billion  fund from the Finance department.

A private corporation has initially released P118 million  to pilot areas in Occidental Mindoro, Tacloban and Sarangani.

A borrower only needs to be a member of an organization like a vendors’ group.

“Mabilis makaloan, hindi mo kailangang mag-fillup ng mahabang papel at walang collateral (You can quickly get a loan. No need to fill-out many documents and it has no collateral),” DTI Secretary Ramon Lopez said.

The secretary said, the loan interest is only 2-2.5% per month which is lower than the 5-6 scheme which is at 20%.

“Parang micro finance din yan.Maguumpisa ka sa 5,000 pesos pag nakabayad ka pwede ka ng manghiram ng mas malaki (It’s like micro financing. You start with 5,000 pesos, once you’ve paid for it, you can get a bigger loan),” Secretary Lopez said.

The program will create a sustainable system that will keep the fund from being depleted.

“In the future, meron din tayong ganyang system that will tell whether the borrower is a manunuba or masipag magbayad (We will have a system in the future that will tell if the borrower is a good payer or a delinquent) ,” Secretary Lopez said.

If the P3 proves to be successful, a 1 billion peso fund will be allocated per region. – Rey Pelayo | UNTV News & Rescue

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