SSS issues P643-M loans in H1

The Social Security System (SSS) released P643.18 million in commercial and development loans covering 27 projects from January to June this year.

Of this amount, P206.83 million went to a joint SSS-GSIS (Government Security and Insurance System) financing program focused on commercial loans to private sector borrowers.

The loans are coursed through conduit banks like the Development Bank of the Philippines (DBP) or the Land Bank of the Philippines (LBP). Interest rates reportedly range from 11 percent to 15 percent.

The most recent loan amounting to P25 million was availed by the Pililia poultry farm of Vitarich Inc.

The SSS also extended loans totalling P235.60 million to nine educational institutions for projects that will affect 3,398 students.

Development loans extended to five hospitals and related institutions reached P199.5 million affecting 326 hospital beds.

Also approved was a commercial loan amounting to P1.25 million which was extended to tourism-related business that would employ 10 persons.

The SSS launched its commercial and development loan programs in 1988 to provide loans to enterprises and other development institutions. Last year, the SSS released more than P659 million in loans to school, hospitals, tourism-related projects and small and medium scale projects.

SSS has disbursed nearly P20 billion under the commercial and development programs since 1988. It provided funds to various business, livelihood and social development projects nationwide.