December 6, 2022

Landbank of the Philippines has raised to P50 billion the loanable fund for local businesses adversely affected by the Covid-19 pandemic to accommodate more borrowers.

This is the second budget hike made for the Landbank Interim Rehabilitation Support to Cushion Unfavorably affected Enterprises by Covid-19 (I-Rescue) Lending Program since its launch in April 2020.

With an initial fund of P10 B, the Bank doubled this to P20 B in April this year.

The Landbank I-Rescue Lending Program provides credit and loan restructuring assistance to businesses whose operations have been severely affected by the pandemic, through more flexible loan terms and conditions.

“Since its launch at the height of the pandemic last year, the I-Rescue Lending Program has gained wide acceptance from borrowers striving to keep their businesses afloat amid the ongoing crisis. Rest assured that Landbank will continue to provide responsive credit assistance to support key sectors and contribute to accelerate the country’s ongoing economic recovery,” said Landbank President and CEO Cecilia C. Borromeo.

As of May 31 Landbank has approved P20.95 B worth of loans to 460 borrowers, comprised of 310 micro, small, and medium enterprises (MSMEs); 83 cooperatives; 62 large corporations; and five microfinance institutions (MFIs). Of the amount, P19.53 B or 93 percent has already been released.

Under the I-Rescue Lending Program, eligible borrowers may loan up to 85 percent of their emergency or permanent working capital requirements, with an affordable interest rate of 5 percent per annum for three years, subject to annual re-pricing thereafter, and payable up to 10 years with a maximum of two years grace period on the principal repayment.

The program also offers a sub-credit facility for MSMEs and cooperatives, as well as self-employed individuals duly registered with the Department of Trade and Industry and the Securities and Exchange Commission, classified to be critically affected by the pandemic.

Qualified borrowers may avail P100,000 or up to 85 percent of the actual permanent working capital requirement but not exceeding P3 million, at a lower fixed interest rate of three percent per annum, with no hard collateral requirement, and payable for up to three years.

For existing Landbank clients, the program provides loan restructuring assistance via additional loan and extended repayment period, or a combination of means to rehabilitate and restore operational cash flow.

The Landbank I-Rescue Lending Program is available until Dec. 31.

Interested borrowers may contact the nearest Landbank Lending Center or branch nationwide or call Landbank’s customer service hotline at (02) 8-405-7000 or at PLDT Domestic Toll Free 1-800-10-405-7000.

For more updates, follow, like and share the official Landbank Facebook, Instagram, and YouTube accounts (@landbankofficial), Twitter (@LBP_Official) and join our Viber community (@LANDBANK), or visit www.landbank.com. – Press release