Banks relax loan requirements for P3-billion ‘Pinay’ program

Loan requirements for the P3-billion "PINAY" fund spearheaded by the Land Bank of the Philippines (LBP) have been further relaxed, according to Isabelita "Sabsy" S. Palanca, president of the Women’s Business Council (WBC).

Palanca said the PINAY loan fund is part of a financial assistance package that the Women’s Business Council helped arrange for women entrepreneurs. It was set up about two years ago to help fund projects of women-owned or managed enterprises.

The minimum loan is P500,000 and several banks participate in the fund, Palanca said.

Recently, she said the LBP and the other participating financial institutions (PFIs) agreed to relax their loan requirements. According to Palanca, the LBP and the PFIs are now reportedly willing to evaluate on a case-to-case basis the granting of loans even without the normal collateral depending their evaluation of the borrower and the project.

Likewise, Palanca said, the banks are also willing to relax their requirement of securing guarantee from the borrower’s spouse. Normally, female borrowers are required to get their husband’s consent and co-guarantee when they secure a loan.

Palanca said under the PINAY loan fund, such a requirement could now be waived. Palanca said the WBC is also providing additional assistance to women entrepreneurs in terms of marketing and continuing education.

The Women’s Business Council of the Philippines, Palanca explained, is an organization whose goal is to help women entrepreneurs.

The WBC, together with the United Nations Fund for Women (UNIFEM) and the Confederation of Women’s Business Council-APEC, is hosting on March 19 and 20 the Second Asia Pacific Business Convention and Exhibition on Globalization and Transformative Leadership: Men and Women in Business, Partners in the New Economy.