‘Wag na pahirapan! Camille Villar wants loan application process simplified for SMEs

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Las Piñas Rep. Camille Villar has urged the government to simplify loan procedures to help small and medium enterprises continue their operations amid the COVID-19 pandemic.

During the virtual meeting of the House committee on micro, small and medium enterprise development about existing credit and loan facilities for MSMEs on Wednesday, June 10, Villar said the Small Business Corp.’s (SBCorp) role is crucial to aid cash-strapped entrepreneurs.

She suggested that SB Corp. should disseminate information to the local level and lessen documentary requirements to potential borrowers to help the respective constituents of lawmakers avail of the loan facility.

“The role of SB Corp. is very important in jumpstarting our economy because more than 95% of businesses in the Philippines are MSMEs so we really need to help them. I believe they are the most affected,” said Villar, vice-chair of the House panel.

“Baka pwede bigyan ng point person ng SB Corp. na pwede makipag-coordinate sa aming mga opisina at para matulungan ang aming ka distrito na makahabol sa loans,” she added.

Recently, SB Corp. announced that it will open a loan facility called the Enterprise Rehabilitation Financing-Pondo para sa Pagbabago at Pag-Asenso, to affected MSMEs.

Under the program, firms with asset size of not more than P3 million may borrow between P10,000 and P200,000 while those with assets of up to P10 million may borrow up to P500,000.

A total of 4,198 loan applications have so far been processed by SB Corp. with an aggregate amount of P571.17 million, said the agency’s planning and advocacy head Frank Lloyd Gonzaga at the virtual hearing. SB Corp. President Ma. Luna Cacanando said they have released some P23 million in loans to small businesses.