DTI to help more MSMEs through financing assistance

The Department of Trade and Industry (DTI) is aiming to help more micro and small business owners that are affected by the COVID-19 pandemic through an interest subsidy scheme using the P10-billion microfinancing fund by the Bayanihan 2 for the Small Business (SB) Corp.

To continue rolling out SB Corp’s COVID-19 Assistance to Restart Enterprises (CARES) program and other lending programs, the Bayanihan 2 allocated P10-billion fund for SB Corp., DTI’s financing arm.

“We will carve out PHP1 billion from the PHP10-billion fund to be assigned to SB Corp under Bayanihan 2 as an interest subsidy fund,” SB Corp. president and chief executive officer Ma. Luna Cacanando said.

Related: 5 financing options to get you through the pandemic

In a budget hearing at the House of Representatives last week, DTI Secretary Ramon Lopez said the interest fund would allow SB Corp. to implement its zero-interest loan program to more MSMEs as well as overseas Filipino workers affected by the pandemic.

The CARES program provides an interest-free loan to existing registered MSMEs and beneficiaries only pay a 6-percent service charge and are given a six-month grace period before starting their loan payment.

Marikina 2nd District Rep. Stella Luz Quimbo added that many displaced workers and OFWs have started their own small-scale businesses that would need the help of DTI.

Aside from registered businesses, Quimbo said the government should also assist unregistered micro-entrepreneurs like fishball vendors among others.

Meanwhile, RFC also offers a variety of loan solutions to help your business stay afloat during this challenging time.

RFC is here to help you! Apply for a loan and get approved within 24 hours. Take the next step with RFC today!

Source: PNA