Capitol pledges P3M for credit fund-A A +A
Thursday, August 14, 2014
THE Cebu Credit Surety Fund (CSF), which was created by Bangko Sentral ng Pilipinas (BSP) to help Micro, Small and Medium Enterprises (MSMEs), said it welcomed the participation of the Cebu Provincial Government to the program.
Cebu Gov. Hilario Davide III will sign a memorandum of agreement (MOA) among stakeholders in a ceremony at 2:30 pm today at the BSP Regional Office.
The Cebu Capitol, Gov. Davide, pledged to contribute P3 million to the fund.
The Cebu CSF, which was launched in 2009, is a credit enhancement program initiated by BSP to help MSMEs and cooperatives gain easier access to credit from banking institutions.
Among the partner institutions which are putting capital to CSF are the Cebu City Government, Land Bank of the Philippines (LBP), Development Bank of the Philippines (DBP) and the Industrial Guarantee and Loan Fund (IGLF).
They have reiterated their strong support to the CSF and may add their contributions to the fund.
As of June 30, the Cebu CSF has approved surety coverage to loans aggregating P264.8 million, of which P173.1 million were released to 265 beneficiaries.
CSF Program Manager Gary V. Maningo said that more MSMEs in Cebu will be able to take advantage of the CSF program and get access to credit at relatively lower costs even without collaterals.
Maningo, who is also with the BSP Credit Innovation and Advancement Group, said that to ensure availability of funds in the banking system for CSF loan beneficiaries, the BSP allows banks to rediscount loans granted under the CSF program.
Cebu News Workers Multi-Purpose Cooperative (Cebu Newscoop), a media cooperative registered with the Cooperative Development Authority, is a member of the CSF Fund. PR
Published in the Sun.Star Cebu newspaper on August 15, 2014.