The Maritime Industry Authority has requested the Development Bank of the Philippines to provide sample computation of amortization and interest rates for ship modernization loans.

The request was made during a virtual meeting between officials of Marina's Shipyard Regulation Service and DBP to address concerns of shipping cooperatives on the affordability of financial package and meeting payment obligations from the bank.

The virtual meeting also discussed the importance of providing incentives and subsidies to boatbuilders and shipowners/operators, similar to those offered to the land transportation sector.

The scope of financial package for maritime stakeholders in Region VIII has yet to be discussed, according to Marina.

"A further meeting with stakeholders is in the offing," the agency said.

Issues related to the modernization of ships as outlined in MC 2016-02 were tackled.

The circular covers the adoption and promotion of safety standards for ships and shipping service, retirement of wooden-hulled passenger vessels, use of safe hull materials, compliance of minimum competency for crews, etc.

SRS Director Engr. Ramon Hernandez presided over the meeting attended by Raquel Anzures from DBP Central Office, Atty. Janet Dacillo from DBP Tacloban Lending Center and officials from other DBP branches in Region VIII.

Under a memorandum of agreement signed by the two agencies in July 2022, a financing program would be established for industry players to bankroll strategic projects, including modernization of wooden-hulled vessels as provided under Marina Circular 2016-02.

The objective is to promote, develop and foster a sustainable and progressive maritime industry.