OFWs hit by ME war get P2.9-M loan

THE Department of Trade and Industry (DTI) said it has released P2.9 million worth of loan assistance for overseas Filipino workers (OFWs) affected by the war in the Middle East (ME).

The loan assistance falls under the OFW Negosyo Fund, which supports the reintegration of Filipino workers returning from abroad, the DTI said in a statement on Tuesday.

Businesses that received financial support include Aqualirio Drinking Water Refilling Station; Zia Parmacia Pharmacy; and Events Management Service Velare by Syd Bilaro.

Other recipients of the fund are Rosel Food and Refreshment Hub; ABCV Waffle Food Kiosk; Masterbuild Hardware & Construction Supplies; Sara’s Kitchenette; Nineteen Printing Shop; Lyn Amparo’s Kakanin Products Manufacturing; BGP Kitchen Equipment Repair and Maintenance Services; and DNC Motorcycle Parts Shop.

Through its financing arm Small Business Corp. (SBCorp), the DTI has allocated P2 billion for the OFW Negosyo Fund. The fund offers a loanable amount of P30,000 up to P20 million for OFWs with at least one year of experience in running a business.

It offers no payment of capital and interest for zero, six, or 12 months, depending on the borrower, and offers flexible repayment of up to five years.

No collateral is required for loans up to P3 million for new borrowers and P5 million for existing ones, DTI added.

Meanwhile, the SBCorp on Monday launched a P4-million loan fund to support micro, small, and medium enterprises (MSMEs) in need of extra capital.

This comes as MSMEs face supply chain disruptions, high logistics costs, and limited financing access amid the ongoing war in the Middle East.

“We are expecting a high demand, especially during times such as this,” Trade Secretary Ma. Cristina A. Roque told reporters on the sidelines of the launch.

The fund provides a loanable amount of P30,000 to P20 million, payable for up to five years. It is collateral free for loans of up to P5 million, with an interest rate of 12% based on diminishing balance, and a processing fee of 2% to 3%. — Beatriz Marie D. Cruz