October 10, 2018
MAKATI CITY – The Department of Trade and Industry (DTI) widens the reach of Pondo sa Pagbabago at Pag-asenso (P3) program with another P100 million loan fund for micro, small, and medium enterprises (MSMEs) following its renewed partnership with Center for Agriculture and Rural Development (CARD), Inc. (a microfinance NGO).
The partnership between DTI and CARD signed through a Memorandum of Understanding (MOU) on 5 October 2018 will have an additional P100 million to the first P100 million allocated by CARD to augment P3 funds, for a total of P200 million-worth of loan funds now available for MSMEs nationwide.
According to DTI Secretary Ramon Lopez, CARD – being the biggest microfinance institution – can be a credit delivery partner (CDP) that can reach areas not usually covered by other P3 CDPs. Sec. Lopez also expressed his appreciation to the group in supporting government initiatives to empower micro entrepreneurs, especially in the countryside.
The loan fund is expected to benefit over 20,000 MSMEs, in addition to the current 41,800 MSMEs under the P3 program of CARD. The MOU also covered conduct of orientation, validations, microenterprise development trainings, livelihood, and financial literacy to clients.
Currently DTI, through SB Corporation, has assisted 50,500 unique micro enterprise borrowers. The P2 billion loan fund will be fully downloaded to the MSME borrowers through CDPs by February 2019 and will benefit a total of 80,000 borrowers.
In total, the partnership will be able to provide microfinancing assistance to over 140,000 MSMEs.