For AGFP Partner Lending Institutions (PLIs)
The Philippine Guarantee Corporation (PHILGUARANTEE) has implemented measures to support the agriculture sector during the Enhanced Community Quarantine due to COVID-19, effective from April 15 to July 15, 2020. These measures include a reduction in the guarantee fee from 1% to 0.5% and an increase in guarantee coverage from 85% to 90% for loans granted to farmers producing palay. This initiative aims to encourage lending to small farmers, regardless of their status as agrarian reform beneficiaries or insurance coverage. The overarching goal is to boost palay production to meet national needs during the pandemic.
April 15, 2020
PGC ADVISORY NO. 004-20
FOR AGFP PARTNER LENDING INSTITUTIONS (PLIs)
As part of its continuing efforts to support the Agriculture Sector during the period of the Enhanced Community Quarantine (ECQ) in view of the COVID-19 contagion, the PHILGUARANTEE Governing Board has approved the following measures for PLIs to encourage more lending to support small farmers, effective for the period 15 April 2020 up to 15 July 2020:
1.) Reduction of the rate of guarantee fee from 1% to 0.5%; and
2.) Increase of the guarantee coverage from 85% to 90% of the loan amount.
Provided, that the reduced guarantee rate and the increased percentage of coverage shall apply only to loan/s granted by the PLIs to farmers who are producing palay, regardless of whether or not they are agrarian reform beneficiaries or the loans are covered by Philippine Crop Insurance Corporation (PCIC) insurance.
The above measures are also in line with the efforts of government to increase palay production in order to meet the country's needs during the ECQ period.
For the foregoing assistance, please directly email:
Mr. Louie F. Lumawig ([email protected])[email protected])
Other inquiries and concerns shall be coursed through the following helpdesk emails:
[email protected] (for Corporates/SMEs/Agriculture Business/Support Operations)
[email protected] (for Housing Business/Recoveries & Asset Management/Collection & Claims and AGFP-related Recoveries & Claims)
Keep safe and healthy everyone.
(SGD.) ALBERTO E. PASCUALPresident and Chief Executive Officer