Stare-run Development Bank of the Philippines has introduced two new programs to help micro, small, and medium enterprises (MSMEs) and poultry business owner to have better access to credit.
DBP President and Chief Executive Officer Cecilia Borromeo said in a statement that the bank has introduced the Small Business Puhunan Loan and the Broiler Contract Growing programs, in line with its commitment to further empower small entrepreneurs in the country.
“These two programs are designed to remove the barriers that impede the growth of MSMEs, such as lack of access to bank financing and slow loan processing,” Borromeo said.
“Our hope is that through these initiatives, more entrepreneurs will be able to sustain their businesses and contribute to the growing economy,” she added.
Borromeo also furthered that the said program is related to the national government’s objective to provide credit for working capital of small enterprises.
Under the Small Business Puhunan Loan Program, investors planning to put up small businesses may apply for loans amounting to P300,000 to P1 million for their working capital.
“The SBPLP can open the doors to small borrowers who may later enter regular lending programs where they can avail of bigger loans,” Borromeo broadened.
Meanwhile, the Broiler Contract Growing Program is a sub-program of the DBP Sustainable Agribusiness Financing Program.
The Broiler Contract Growing Program, on the other hand, is a sub-program of the DBP Sustainable Agribusiness Financing Program intended to encourage contract growers to strengthen their businesses by using faster loan processing.
Eligible projects under the program are farm acquisition, development, expansion or rehabilitation. The allowed loanable amount is up to 80 percent of the total project cost with a repayment term of up to 10 years.
The DBP also disclosed that the new initiatives is a way of extending gratitude for the bank being awarded as the SME Bank of the Year in the The Asian Banker-Philippine Country Awards.