PCCI, SBCorp partner to roll out P7-B loan financing for MSMEs

The Philippine Chamber of Commerce and Industry (PCCI) and the Department of Trade and Industry's Small Business Corporation (SBCorp) have forged a partnership to roll out a P7-billion loan facility program aimed at extending financial aid to micro, small, and medium enterprises (MSMEs) hit by soaring fuel prices.

In a news release on Friday, the PCCI said the partnership deal with SBCorp will make the state-run financing firm's loan products and services accessible to MSMEs nationwide.  

Under the partnership, the group will serve as a conduit in processing and validating the application requirements, with local chamber of commerce and industry (LCCI) chapters designated to accept and endorse applications from members in good standing. 

"This undertaking was initiated by Trade Secretary [Cristina] Roque through the SBCorp to extend loan assistance to MSMEs. We have secured a P7-billion loan project with SBCorp for enterprises that are in three priority sectors–women-led, export development, and returning OFWs," said PCCI President Perry Ferrer.

Ferrer added that the loan program may offer a grace period of up to 12 months and could require no collateral.

"The loan program is not only for PCCI. We are here to help facilitate the screening and processing of documents, making it easier for SB Corporation to accept and confirm applications," he said.

Eligible MSMEs may avail of various loan programs under the RISE UP or Resilient, Innovative, Sustainable Enterprises initiative, with loanable amounts ranging from P30 million to P50 million. 

Qualified borrowers must be at least 60% Filipino-owned for partnerships and corporations, have an asset size not exceeding P100 million (exclusive of land), with a good track record of at least one year, and with no past due account under SBCorp Program and no major negative credit ratings. 

"The private sector and government need to work together to find innovative solutions to help our MSMEs, widely recognized as the backbone of our economy. Aside from fuel cost reduction measures, we are also working on other solutions to help MSMEs lessen the burden," Ferrer said. — VDV, GMA News