State-run Land Bank of the Philippines (LBP) granted a hefty P6.95 billion worth of loans to micro, small and medium enterprises (MSME) in the country along with other cooperatives that were affected by the COVID-19 pandemic.
Still, the Bank disclosed that under its Interim Rehabilitation Support to Cushion Unfavorably affected Enterprises by COVID-19 or I-RESCUE program, majority or P5.28 billion of the total stock has been released.
Of the 228 borrowers, 208 has already received their loans, which include 167 MSME, 34 cooperatives, four microfinance institutions and three large corporations as of end-January 2021.
LBP President and CEO Cecilia Borromeo said that they are looking at the program’s further expansion, providing a sub-credit facility for MSME, cooperatives and self-employed individuals affected by the health crisis.
“We are enhancing the I-RESCUE lending program to cover a wider range of key industries that need greater access to credit,” Borromeo explained.
“LBP is keeping in step with emerging requirement under the new normal in support of the country’s ongoing economic recovery,” she added.
The I-RESCUE program will soon grant qualified borrowers to lend up to 85 percent of their emergency or permanent working capital requirement. This, will then follow a 3 percent fixed interest rate per annum, payable up to three years.
According to LBP, the lending program will be available until end-December 2022.