No-interest loans for returning OFWs venturing into agri-business

The Department of Agriculture (DA) is providing no-interest loans to encourage returning overseas Filipino workers (OFWs) to venture into agriculture and in turn help in the revival and rebooting of the countryside.

“As we adopt the ‘whole-of-nation approach’ in creating more livelihood and employment opportunities in the countryside, we will also ensure that more small farmers and fishers, and Balik-Probinsya, Bagong Pagasa (BP2) program beneficiaries will benefit from agri-ventures spawned by our returning OFWs,” DA Secretary William Dar said.

He made the offer in attracting OFWs during a teleconference on May 15, with Gemma Sotto, chairperson of the United Filipino Global International, and dozens of government officials and leaders of OFW organizations in the Middle East, United States, and Australia, among other countries.

The DA, through its Agricultural Credit Policy Council (ACPC), has loan programs that are accessible to OFWs, including free technical trainings from the Agricultural Training Institute (ATI).

ACPC loan programs, namely Expanded SURE-Aid and Recovery Project (SURE COVID-19), Kapital Access for Young Agri-prenuers (KAYA), and Agri-Negosyo (ANYO), aim to help micro and small enterprises (MSEs), marginal small farmers and fishers, and young agripreneurs to venture into agri-fishery enterprises.

“Now is the time to tap the OFW sector as they start to reintegrate themselves back to their respective homes, communities, and provinces,” Dar said.

Under the SURE COVID-19 program, MSEs may avail of up to P10 million as working capital at zero interest and payable in five years.

They may be engaged in agri-fishery food production, delivery of produce or commodities, and other activities in the supply chain whose operations were affected by the expanded community quarantine (ECQ).

Individual farmers and fishers, affected by the ECQ, may borrow a non-collateralized loan of P25,000, zero interest, payable in 10 years, to finance their emergency and production capital requirements.

To attract Filipino millennials, young entrepreneurs or agri-fishery graduates who are 18 to 30 years old, ACPC offers the KAYA financial package, where they can borrow up to P500,000, zero interest, payable in five years. They may engage in start-up or existing agri-based projects.

The ANYO Program, meanwhile, finances agri-ventures, working capital or fixed asset acquisition by individuals, sole proprietors, partnerships, corporations, and cooperatives, whose members are marginal small farmers and fisherfolk. They can avail of P300,000 up to P15 million, zero interest, payable up to five years.

All of the loans are channelled through government and non-government financial institutions.

In addition, the ATI will provide OFWs capacity-building and skills trainings like on social preparation and values formation, production technologies, farm business school, and establishment of agri-learning sites, among others.

It also promotes household food security and livelihood program through distribution of planting materials and farm animals, and sharing of technologies to enable OFW agri-ventures to be productive and sustainable.

https://mb.com.ph/2020/05/18/no-interest-loans-for-returning-ofws-venturing-into-agri-business/