LANDBANK rolls out new P10B loan program to help LGUs recover from the COVID-19 crises

July 29, 2020

As the country takes recovery measures, the Land Bank of the Philippines (LANDBANK) is offering a new lending program to finance development and innovative projects of Local Government Units (LGUs) to help rebuild their communities.

LANDBANK has earmarked P10 billion for the RISE UP LGUs Lending Program available for provincial, city and municipal LGUs. RISE UP LGUs stands for Restoration and Invigoration package for a Self-sufficient Economy towards UPgrowth for LGUs.

The program was virtually launched Wednesday (July 29) during the regular meeting of the Union of Local Authorities of the Philippines (ULAP), the umbrella organization of all leagues of LGUs and locally elected government officials in the country.

LANDBANK President and CEO Cecilia C. Borromeo and ULAP National President Government Dakila Carlo E. Cua led the virtual program launch, and participated in by ULAP member-Leagues and officers including, among others, League of Provinces of the Philippines (LPP) National President Governor Presbitero J. Velasco, Jr., League of Cities of the Philippines (LCP) National President Mayor Evelio R. Leonardia, and League of Municipalities of the Philippines (LMP) National President Mayor Luis C. Singson.

“The ongoing public health crisis caused by the COVID-19 pandemic has highlighted the vital role of LGUs in managing the effects of unforeseen catastrophes. We hope that the LANDBANK RISE UP LGUs Program will help them better serve their constituents and communities, while developing a stronger local economy that can withstand future crises,” President Borromeo said.

The LANDBANK RISE UP LGUs Program will be made available to eligible LGUs at a loan amount depending on their project requirements, provided that the total loan exposure (including the proposed loan under the program) should not be more than its Net Borrowing Capacity per Bureau of Local Government Finance (BLGF) computation/certification. The loan shall bear an affordable interest rate of 4.5% per annum fixed for the first year, and subject to annual repricing thereafter based on Bank’s prevailing interest rate

The loan may be used for the purchase of agricultural produce, acquisition of equipment, and construction of facilities for linking of products to the market such as the market infrastructure development and/or improvement, mobile palengke, collection and buying stations, and related facilities.

The LGU may also use the loan to fund programs and projects that will provide its constituents with basic and support services, social welfare and healthcare, and other infrastructure activities that aim to bring back confidence of the people and spur the local economic activities/businesses after a crisis or pandemic.

For permanent working capital, the LANDBANK RISE UP LGUs Lending Program offers a loan tenor of three years. Meanwhile, tenor for term loan is up to 10 years. A grace period of up to one year on principal payment for both credit facilities may also be granted.

To ensure an extensive information dissemination and coordination for the loan availment of the Lending Program by   eligible LGUs, a Memorandum of Understanding (MOU) was also virtually signed between LANDBANK, ULAP, LPP, LCP and LMP during the webinar, which was streamed live over the Facebook pages of ULAP ( and LANDBANK (

Interested borrowers may contact the nearest open LANDBANK Lending Center or Branch nationwide, or call LANDBANK’s customer service hotline at (02) 8-405-7000 or at PLDT Domestic Toll Free 1-800-10-405-7000.

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Former OFW turns to LANDBANK for a ‘refreshing’ start

Annie Suela, a watermelon farmer from Sibalom, Antique, availed of LANDBANK’s Agricultural Competitiveness Enhancement Fund (ACEF) loan program in 2019 to finance her watermelon production. With the existing quarantine protocols due to COVID-19, Suela once again relied on LANDBANK’s assistance to cushion the effect of the pandemic on her livelihood. SIBALOM, Antique – The strict quarantine imposed by the government due to the Covid-19 pandemic played a key role in a former overseas worker’s “refreshed” source of income. Just like everybody who became unsure of how things will turn out as a result of the lockdowns, watermelon farmer Annie Suela found herself in a predicament as to how she and her two children will survive. But thanks to Land Bank of the Philippines (LANDBANK), her two-hectare watermelon farm managed to survive despite the COVID-19 lockdowns. A former Overseas Filipino Worker (OFW) in Hong Kong, Suela heard over the radio about LANDBANK’s offer of low interest rates and simpler requirements for small farmers. “In December 2019, Ms. Suela was granted a credit line under the Agricultural Competitiveness Enhancement Fund (ACEF) loan program to finance the needs of her watermelon production. This also led to job generation for farm workers in their area who help prepare and till their farm,” said LANDBANK Iloilo Lending Center Head Inocentes Y. Ypanto, Jr. The ACEF fund facility, administered by LANDBANK, allows micro and small enterprises, farmers’ and fishers’ cooperatives and associations, as well as individual farmers to borrow up to 95 percent of total project cost. The funds can be used to purchase farm input and equipment or acquire/establish agri-based production and processing machineries, equipment and facilities. Suela recounted that she had a hard time keeping her watermelon farm afloat. With the limited transportation in the province resulting from the lockdown, Suela’s programmed deliveries to Manila and Boracay were disrupted. “Grabe yung experience namin dahil sa lockdown. Kahit ang dami naming pananim na watermelon, wala kaming kinikita dahil wala talagang bumibili at walang bumi-byahe sa mga terminal. (We experienced difficulties because of the lockdown. Nobody wants to buy our watermelon and any means of transporting our produce to the markets practically stopped),” Suela said. But these challenges did not break her spirit. Even with the lower profit and logistics issues, she continued to look for ways to sell her watermelons. On top of that, she also ensured that her outstanding balance with LANDBANK were paid in full to be eligible for a re-loan that she has been eyeing even before the pandemic. “Kahit na pandemic, sinikap ko talaga na makapagbayad kasi gusto ko mapanatili yung credit line ko sa LANDBANK para sa farm namin. Nag-focus kami sa pagbebenta ng mga vegetable para mabayaran yung balance namin. (Despite the pandemic, I tried my best to pay our loan obligation so I can maintain our credit line with LANDBANK. We focused on selling vegetables instead),” Suela explained. For Suela, ACEF was a welcome development for their financial needs compared to the usual unfair terms of illegal moneylenders. She is also is thankful for taking the leap with LANDBANK as it served as her safety net, especially during the strict lockdown period. “Malaki ang pasasalamat ko sa LANDBANK kasi ang bilis din ma-approve ng re-loan ko kahit may pandemic. Within four days, na-credit na agad sa account ko yung loan kaya may pang-capital na ulit kami. Kung wala ang LANDBANK, hindi ko na alam kung saan kami kukuha ng pangsimula ulit. Madali silang kausap at laging handang tumulong sa katulad kong small farmer. (I am thankful to LANDBANK because despite the pandemic, our re-loan was approved immediately. The loan amount that will be used for capital was credited to our account in just four days. I wouldn’t know where to get the funds to restart operations without LANDBANK. They are always willing to help small farmers like me),” Suela said. Suela and her family are slowly getting back on their feet as quarantine protocols nationwide are relaxed. Aside from the loan she availed from LANDBANK, she is also grateful for the financial literacy workshops and the technical trainings she received from the Bank and the Department of Agriculture to help her better manage the farm. She is also aiming for higher goals. Suela said she is interested in another loan program that will help her mechanize her farm and increase productivity of both the watermelon and vegetable farms. Interested borrowers of the LANDBANK ACEF loan program may contact the nearest open LANDBANK Lending Center or Branch nationwide, or call LANDBANK’s customer service hotline at (02) 8-405-7000 or at PLDT Domestic Toll Free 1-800-10-405-7000.


LANDBANK extends P737M in loans for purchase of modern jeepneys

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Rubber tree farmers in Zamboanga Sibugay ‘bounce back’ during the pandemic

Goodyear Agrarian Reform Beneficiaries Multi-Purpose Cooperative (GARBEMCO) and Land Bank of the Philippines (LANDBANK) have been partners for rubber production in Zamboanga Sibugay since 1995, which helped sustain the co-op’s operations despite the ongoing COVID-19 pandemic, through business diversification. KABASALAN, Zamboanga Sibugay – For the past 28 years, Goodyear Agrarian Reform Beneficiaries Multi-Purpose Cooperative (GARBEMCO) has relied mainly on their 1000-hectare rubber and intercropped plantation to generate income for their 312 members who are Agrarian Reform Beneficiaries (ARBs). But the COVID-19 crisis early this year dealt their rubber trading business with a heavy blow. “GARBEMCO’s rubber trading halted during the pandemic. There were no traders, and manufacturing plants stopped operating. So the co-op had to focus on its other businesses to ensure income for its members,” said LANDBANK Zamboanga del Sur Lending Center Head Engr. Joselito S. Año. Determined to stay afloat, the co-op turned to palay production and trading, and the operation of their consumer store and fishpond, among other businesses, which it already established early on through financial assistance from Land Bank of the Philippines (LANDBANK). “Ang inspirasyon talaga namin para magpatuloy sa operasyon kahit na may pandemic ay yung aming pamilya at yung pamilyang nabuo namin sa co-op. Kaya nag-bayanihan talaga kami para lang masigurado na tuloy ang pinagkakakitaan at kabuhayan ng mga miyembro namin,” said GARBEMCO General Manager Lilia Manuel. LANDBANK and GARBEMCO’s partnership started in 1995 when the co-op availed of the Bank’s Agricultural Production Loan (APL) and Short Term Loan (STL) for the capital of their rubber production, and later on used it to diversify its businesses. “Ang laking tulong ng LANDBANK sa paglaki ng GARBEMCO. At marami pa kaming mga proyekto sa coop na gusto namin i-develop sa tulong pa rin ng LANDBANK, gaya ng agri-tourism through a hot spring resort,” GM Manuel added. With the relaxing quarantine restrictions in the province, GARBEMCO is now starting to engage anew in rubber trading. The harvests that they stored in their warehouse for the last 5 months, totaling to some 350 tons of rubber, are gradually becoming profitable again for their ARB members. LANDBANK remains steadfast in providing accessible financial channels to ARBs. As of June 2020, cumulative loan releases of two lending programs for ARBs and small farmers have already reached P583.35 million, under the Bank’s E-ARISE-ARBs (Expanded Assistance to Restore and Install Sustainable Enterprises for Agrarian Reform Beneficiaries and Small Farm Holders) loan program, and the CAP-PBD (Credit Assistance Program for Program Beneficiaries Development) Window III Program Extension. For more information about LANDBANK’s Lending Programs, interested borrowers may contact the nearest open LANDBANK Lending Center or Branch nationwide, or call LANDBANK’s customer service hotline at (02) 8-405-7000 or at PLDT Domestic Toll Free 1-800-10-405-7000.