P8-B funds for MSMEs released to DTI

The Department of Budget and Management (DBM) has released PHP8 billion as funds for micro, small, and medium enterprises (MSMEs) loan assistance, according to the Department of Trade and Industry (DTI), during its Senate budget hearing on Wednesday.

DTI’s financing arm Small Business (SB) Corp. on October 27 opened the application for the new batch of the Covid-19 Assistance to Restart Enterprises (CARES) program that provides loans to MSMEs at zero-percent interest, with only minimal service fee, and a six-month grace period, PHP1.2 billion of the total amount released to DTI distributed already to 1,160 MSMEs.

Senator Juan Edgardo “Sonny” Angara noted during the Senate hearing that 26,000 MSME loan applications are still pending with the DTI. He added further that the each of the said businesses employ five to 10 workers, which totals to a number of 130,000 to 260,000 jobs saved once the loan applications are granted.

As quarantine protocols have relaxed, only 5 percent of establishments were closed as of November, compared to the 38 percent in June when much of the country was placed under the Enhanced Community Quarantine. (GFB)