House uplifts small businesses
The President may increase the bank’s capitalization upon the recommendation of its board and the concurrence of the secretary of finance.
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Daily TribuneThe President may increase the bank’s capitalization upon the recommendation of its board and the concurrence of the secretary of finance.
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Photo by Analy Labor
The House of Representatives is unanimous in giving small businesses more access to finance and inclusive growth to spur Covid recovery.
Speaker Martin Romualdez-certified House Bill 1 (GUIDE Act) made a mad dash past filibusters in support of the President's marching orders to make the economic return stage a capitalism camp for budding enterprises.
"It is essential that these enterprises are given necessary access to credit and financial assistance. It is hereby declared the policy of the State to protect employment and assist distressed enterprises to reinvigorate the economy," the measure read.
The bill would upsize the capacity of the Land Bank of the Philippines and the Development Bank of the Philippines to expand credit to affected Micro, Small, and Medium Enterprises in the agriculture, infrastructure, manufacturing, and service industries.
The original co-authors of Romualdez's proposed GUIDE Act were Ilocos Norte Rep. Ferdinand Alexander Marcos and Tingog party-list Reps. Yedda Marie K. Romualdez and Jude Acidre.
The list has since expanded to include scores of other House members as co-authors.
"To this end, the government financial institutions are mandated to expand their credit programs to assist MSMEs to meet their liquidity needs. In particular, the LBP and DBP are mandated to expand their credit and rediscounting facilities to affected MSMEs in the agriculture, infrastructure, manufacturing, and service industries," the bill's authors said.
The President may increase the bank's capitalization upon the recommendation of its board and the concurrence of the secretary of finance.
Land Bank will be mandated to rediscount loans to eligible MSMEs.
