With the Bayanihan to Recover as One Act (Bayanihan 2) now signed into law, Union of Local Authorities of the Philippines (ULAP) National President and Quirino Governor Dax Cua on Saturday urged local government unit (LGU) executives to make full use of loans and loan subsidies now available to LGUs in order to help them respond to the challenges of the coronavirus disease (COVID-19) pandemic.
In a letter to the officers and members of the League of Provinces of the Philippines, the League of Cities of the Philippines, and the League of Municipalities of the Philippines, Cua and Landbank President and CEO Cecilia Borromeo informed fellow LGU chiefs about the collaboration of ULAP, government financial institutions (GFIs) and Congress that “has made possible the provision of one billion pesos to Landbank in interest subsidy for loans of LGUs under the Bayanihan to Recover as One Act or Bayanihan 2.”
“The interest subsidy will not only address the request of LGUs for lower interest rates, but will also redound to more economic activities.”
“This will be applied under Landbank’s Restoration and Invigoration package for a Self-sufficient Economy towards UPgrowth for LGUs Lending Program or RISE UP LGUs which we launched last July 29, 2020,” explained Cua.
RISE UP LGUs is a lending program that “aims to provide credit financing to LGUs as part of their COVID-19 response and in the implementation of economic stimulus plans to revive local economies.”
“The interest subsidy will not only address the request of LGUs for lower interest rates, but will also redound to more economic activities and other recovery measures that will benefit your constituents.”
“This milestone is a testament to our long-standing partnership in pursuing local economic and social development.”
Cua and Borromeo advised LGU heads to begin coordinating with Landbank Lending Centers across the country, as these are now ready to assist LGUs better understand the details and features of RISE UP LGUs.
“This milestone is a testament to our long-standing partnership in pursuing local economic and social development, thereby contributing to nation-building,” added Cua, the former Chair of the House of Representatives Commitee on Ways and Means.
President Rodrigo Duterte signed Bayanihan 2 on Friday. The measure allocates P165 billion to fund government efforts to contain the COVID-19 outbreak and to address its negative effects on the economy.