Landbank of the Philippines “will continue to assist customers that meet the bank’s risk asset acceptance criteria,” to help ease the woe wrought by the Covid-19 pandemic, especially now that Bayanihan 2 has been signed into law.
Landbank president and chief executive officer Cecilia Borromeo they have its “risk appetite” taking into consideration the need to help clients sustain the viability of their businesses amid the challenges brought about by the pandemic.
“We will develop new programs/products as necessary,” she assured. Among the bank’s loan programs offered are its Restoration and Invigoration package for a Self-sufficient Economy toward UPgrowth for LGUs (RISE UP LGUs), the Countryside Financial Institutions Enhancement Program (CFIEP), and the Interim Students’ Loan for Tuitions towards Upliftment of Education for the Development of the Youth (I-STUDY) program.
Borromeo said Landbank has allocated PHP10 billion for the RISE UP LGUs lending program, which helps finance innovative LGU projects, loam exposure for which should not exceed the LGU’s net borrowing capacity based on the Bureau of Local Government Finance’s (BLGF) computation.
Proceeds of this loan may be used to acquire agricultural produce, equipment, construction of facilities to link farms to markets, development and/or improvement of mobile market, related facilities.
The CFIEP, a joint program with the Bangko Sentral ng Pilipinas (BSP) and the Philippine Deposit Insurance Corporation (PDIC) aims to boost the capital of cooperative banks, rural banks, and thrift banks to address the impact of payment defaults by their own borrowers due to the pandemic, as well as calamities and disasters.
The I-STUDY program, for its part, is designed to help parents and guardians finance the education of their kids or benefactors for school years 2021-2022. Landbank has earmarked about PHP1.5 billion for this program and borrowers may avail as much as PHP300,000.