Guarantee agency provides credit relief
Published Jun 2, 2020 12:00 am
By CHINO S. LEYCO
State-run Philippine Guarantee Corp. (PHILGUARANTEE) has extended its financial assistance to small businesses as well as clients in the agriculture and housing sectors devastated by the coronavirus pandemic.
In a statement released by the Department of Finance (DOF), it said that PHILGUARANTEE implemented moratoriums on loan payments and credit guarantees, plus other relief and support measures amid the coronavirus diseases (COVID-19) crisis.
DOF said that one of the assistance measures implemented by the agency is a credit guarantee program for the P120-billion working capital loans accessed by micro, small and medium enterprises (MSMEs).
According to the DOF, this program will jumpstart at least 12,000 small businesses affected by the COVID-19 pandemic that availed of working capital loans from accredited banks and financial institutions.
The credit guarantees, approved by the agency’s board chaired by Finance Secretary Carlos G. Dominguez III in April, will help MSMEs to ride out the coronavirus-induced economic crisis, the DOF said.
Under the program, the PHILGUARANTEE's annual guarantee fee of one percent is also waived.
Aside from the credit guarantee facility, DOF said that PHILGUARANTEE continues to take part in the government’s implementation of Republic Act (RA) No. 11469 or the Bayanihan to Heal As One Act.
DOF said the agency deferred its statutory deadlines and timelines for payments and other charges by waiving all housing program-related penalties from March 16 to May 31, which should benefit 28,137 clients.
“The various relief and guarantee support mechanisms instituted beginning March 16, 2020 remains available for the agricultural, housing and MSME clients, accounts and partner lending institutions (PLIs),” PHILGUARANTEE said.
The agency also extended a two-month moratorium on the monthly amortization payments for long- and short-term rentals and those covered by joint venture agreements for 4,647 of its existing housing accounts.
It has also lifted the 30-day period to file housing claims between March 16 and May 31 for 150 target-beneficiaries, and granted a 60-day extension period to all Agriculture Guarantee Fund Pool guarantee lines expiring between March 16 and April 30, which will benefit 12 of its Partner Lending Institutions (PLIs).
For its 35 PLIs with claims for AGFP guaranteed loans with maturities between March 16 and April 15, PHILGUARANTEE granted an additional 30 days (for a total of 105 days) for the filing of their claims.
PHILGUARANTEE has also granted a moratorium on the payment of loan amortizations and lease rentals for restructured loans and lessees of acquired properties effective March 16 to May 31, with no additional interest and penalties incurred during the said period.
In a statement released by the Department of Finance (DOF), it said that PHILGUARANTEE implemented moratoriums on loan payments and credit guarantees, plus other relief and support measures amid the coronavirus diseases (COVID-19) crisis.
DOF said that one of the assistance measures implemented by the agency is a credit guarantee program for the P120-billion working capital loans accessed by micro, small and medium enterprises (MSMEs).
According to the DOF, this program will jumpstart at least 12,000 small businesses affected by the COVID-19 pandemic that availed of working capital loans from accredited banks and financial institutions.
The credit guarantees, approved by the agency’s board chaired by Finance Secretary Carlos G. Dominguez III in April, will help MSMEs to ride out the coronavirus-induced economic crisis, the DOF said.
Under the program, the PHILGUARANTEE's annual guarantee fee of one percent is also waived.
Aside from the credit guarantee facility, DOF said that PHILGUARANTEE continues to take part in the government’s implementation of Republic Act (RA) No. 11469 or the Bayanihan to Heal As One Act.
DOF said the agency deferred its statutory deadlines and timelines for payments and other charges by waiving all housing program-related penalties from March 16 to May 31, which should benefit 28,137 clients.
“The various relief and guarantee support mechanisms instituted beginning March 16, 2020 remains available for the agricultural, housing and MSME clients, accounts and partner lending institutions (PLIs),” PHILGUARANTEE said.
The agency also extended a two-month moratorium on the monthly amortization payments for long- and short-term rentals and those covered by joint venture agreements for 4,647 of its existing housing accounts.
It has also lifted the 30-day period to file housing claims between March 16 and May 31 for 150 target-beneficiaries, and granted a 60-day extension period to all Agriculture Guarantee Fund Pool guarantee lines expiring between March 16 and April 30, which will benefit 12 of its Partner Lending Institutions (PLIs).
For its 35 PLIs with claims for AGFP guaranteed loans with maturities between March 16 and April 15, PHILGUARANTEE granted an additional 30 days (for a total of 105 days) for the filing of their claims.
PHILGUARANTEE has also granted a moratorium on the payment of loan amortizations and lease rentals for restructured loans and lessees of acquired properties effective March 16 to May 31, with no additional interest and penalties incurred during the said period.