Marcos inks EO extending moratorium on amortization payments of agrarian debts

President Ferdinand “Bongbong” Marcos Jr. on Tuesday signed an executive order which extends the moratorium on the payment of the principal obligation and interest of the amortization due and payable by agrarian reform beneficiaries under the Comprehensive Agrarian Reform Program.

The extension stands to benefit some 129,059 beneficiaries tilling 158,209.24 hectares of land whose land awards did not reach the cut off period of July 24, 2023 that was provided under Republic Act No. 11953.

“Well, right now, hindi sila nasama doon sa moratorium --- sa condonation, I’m sorry. Hindi sila nasama doon sa condonation, kaya’t ang ginawa --- dahil nandoon sila pagkatapos ng expiration ng --- may cutoff date para doon sa moratorium, hindi na nila naihabol bago dumating itong IRR kaya’t nasa gitna sila. Sila ang matutulungan doon sa extension ng moratorium ng EO No. 4,” Marcos explained to reporters.

(They were not included in the condonation, I’m sorry. What we did was, because they did not make it to the cutoff date for the [condonation], they will be benefitted by the extension of the moratorium of EO No. 4.)

The EO extends the agrarian debt moratorium implemented under Executive Order No. 4 that was issued by Marcos on September 13, 2022 to another two years, or until September 13, 2025.

“In light of the continuing disruptive effects of the pandemic, the new challenges posed by the ongoing crisis in Ukraine, and the pernicious effects of climate change, this Administration finds it necessary to provide continuing economic relief to ARBs in order to assist them in the process of recovery, and ensure food security in the country amidst these global uncertainties,” the EO stated.

This will further enhance the capabilities of farmer beneficiaries to make their farms productive by extending financial resources. 

IRR 

Meanwhile, the Department of Agrarian Reform also presented to the President the implementing rules and regulations of Republic Act No. 11953.

The drafting committee had finished its work 15 days before September 22, 2023, or the expiration of the period within which the IRR must be promulgated, the DAR said.

The IRR provides for procedures to accelerate the processes of condonation of the agrarian debt and the payment by government of unpaid unjust compensation to landowners for lands acquired under voluntary land transfer or the direct payment scheme.

Marcos then urged the DAR as well as other government agencies to strive for a smooth and immediate execution of the IRR so that beneficiaries may be freed from the burden of debts and reap the benefits from the lands that they tirelessly cultivate.

“The law enjoins the DAR to continue providing support services to all agrarian reform beneficiaries, such as the provision of extension services, credit, financing, and rural infrastructure,” Marcos said in his speech during the presentation of IRR.

“I call on everyone to support and take part in the implementation of this landmark legislation. The need for a whole-of-nation approach is vital to achieve its goals and secure food production in the future,” he added.

In July, Marcos signed the New Agrarian Emancipation Act, which will condone the amortization of principal payments, interest and penalties on land tilled by farmers.

The Republic Act No. 11953 benefitted 610,054 agrarian reform beneficiaries (ARBs) as it writes off P57,557 billion of their loans. These farmers were tilling a total of 1,173,101.57 hectares of agrarian reform lands. — RSJ, GMA Integrated News