DTI opens P1B fund for MSMEs affected by COVID-19

Micro, small, and medium enterprises in the country affected by the enhanced community quarantine due to the COVID-19 pandemic can now borrow funds from the government to help them restart operations, a Small Business Corporation executive said Wednesday.

Luna Cacanando, president and CEO of SB Corp., a financial conduit of the Department of Trade and Industry, said the agency opened the COVID-19 Assistance to Restart Enterprises (CARE) program, which is a P1 billion loan facility that aims to support MSMEs affected by the economic impact of the pandemic.

“Panimulang allocation pa lang ito dahil alam natin na ang Kongreso ay bumubuo din ng stimulus fund para sa malawakang tulong for small enterprises affected,” Cacanando said in an interview on Dobol B sa News TV.

She said the SB Corp. divided the P1 billion into two classes of MSMEs.

Micro enterprises with asset size of not more than P3 million may borrow P10,000 up to P200,000, while small enterprises with asset size of not more than P15 million may borrow a higher loan amount of P200,000 to P500,000.

Cacanando said a grace period of six months will be given to borrowers.

“Talaga pong tulong ito sa ating small enterprises. Mababa po ‘yong interest rate kasi 6% per annum,” she said. “Puwedeng 24 months to 36 months to pay.”

However, she said, due to limited funding, the program is on a first come, first serve basis.

For those who want to loan less than P50,000, Cacanando said businesses only need a barangay certification, one valid ID, and a loan application.

Those who want to loan more than P50,000 will need a DTI business permit, 2019 financial statement, a valid ID, and a loan application.

Interested businesses may send their loan applications to lbaula@hotmail.sbgfc.org.ph or may inquire through SB Corp.’s landline at 8652 3333.

So far, Cacanando said the agency has already received about 4,000 applications.—AOL, GMA News