DAR: 650K beneficiaries to gain from proposed condonation of agrarian reform loans

About 650,000 farmers and beneficiaries will benefit from the proposed measure by President Ferdinand “Bongbong” Marcos Jr. to condone existing agrarian reform loans, Agrarian Reform Secretary Conrado Estrella III said Wednesday.

This came after Marcos, during his first State of the Nation Address (SONA) on July 25, asked Congress to pass a law that will amend Section 26 of Republic Act 6657, or the Comprehensive Agrarian Reform Law of 1998.

Marcos said the law will emancipate the agrarian reform beneficiaries from the debt burden.

At the Palace public briefing, Estrella said the President wants this law passed “as soon as possible.” He also believes that it is gaining support from Congress as several lawmakers have already expressed their intention to file the bill.

“[Sa] New Emancipation Act, iko-condone na ng pamahalaan lahat ng amortization fees and including interests ng mga agrarian reform beneficiaries. ‘Yan ang direksyon natin. Ngunit bago natin gawin ‘yan, ang ating mahal na Pangulo ay maglalabas ng isang executive order para magkaron ng moratorium sa payment of the amortization fees, as well as itong mga interest,” he said.

(Under the New Emancipation Act, the government will condone all amortization fees, including interests, of agrarian reform beneficiaries. That's our direction. But before we do that, the President has to issue an executive order to have a moratorium on the payment of the amortization fees and interests.)

“Mabuti ho ito nang sa gano’n ang ating magsasaka, lalo na ‘yung mga agrarian reform beneficiaries, imbes na ibabayad nila ang kanilang kinikita sa amortization fees at ganun din interest, ay gagamitin na lang nila upang mas lalong mapaigi ang kanilang pagsasaka, lalong mas marami ang kanilang ani, at mas malaki ang kanilang kita,” he added.

(This is good because our farmers, especially the agrarian reform beneficiaries, instead of paying for their amortization fees and interests, will just use their income to improve their farming, to get more harvest, and earn greater profit.)

Estrella also explained that agrarian reform beneficiaries who were prompt in their payments of their amortization fees and interests will be given incentives in the form of rebates or additional support services.

Marcos earlier noted that the condonation of the existing agrarian reform loan will cover P58.125 billion. — RSJ, GMA News