Landbank MSME Loans Reached ₱49-B

State-owned Land Bank of the Philippines (Landbank) has released P49.50 billion worth of loans to the micro, small and medium enterprises (MSMEs) as of end-June this year, up 6.2 percent from the same period in 2022 of P46.6 billion.

Photo Insert: The P49.50 billion consolidated outstanding loans to MSMEs benefited over 6,100 borrowers who used the funds for their operational expansion and acquisition of fixed assets, among other funding requirements.

Landbank President and CEO Lynette V. Ortiz said Thursday that they plan to expand its MSME loan portfolio by partnering with government agencies. She said the state-owned bank, the second largest lender in the country, recognizes the “crucial role of MSMEs in advancing economic development and job generation.”

"We will continue to work with various government partners to grow our loan portfolio for the sector and open more opportunities for our local entrepreneurs,” said Ortiz.

The P49.50 billion consolidated outstanding loans to MSMEs benefited over 6,100 borrowers who used the funds for their operational expansion and acquisition of fixed assets, among other funding requirements.

Besides its regular loan facilities for MSMEs, Landbank also has I-RESCUE or the Interim REhabilitation Support to Cushion Unfavorably Affected Enterprises by COVID-19 Lending Program, to provide credit and loan restructuring assistance to MSMEs severely affected by the pandemic under more flexible terms and conditions.

Since 2020, the bank has raised about P60 billion in additional loanable funds under the pandemic-support program. Meanwhile, eligible I-RESCUE borrowers can take up to 85 percent of their emergency or permanent working capital requirements, at a five percent per annum rate for three years.

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