SB Corp starts special loans

MANILA, Philippines - Small Business Corp. (SB Corp.) has implemented P69.5 million worth of loans, and is processing P125 million more for small enterprises in Leyte and other provinces of Samar, and in Northern Cebu under its Enterprise Rehabilitation Financing (ERF) program.  As of February, value of loan applications received breached P400 million for more than 200 enterprises.  SB Corp. started loan releases under the ERF in January 2014. Under the ERF, small and medium enterprises (SMEs) can loan a minimum of P200,000 and a maximum of P5 million payable in five to 10 years with a year grace period on both principal and interest payments.  Interest rate is at six-percent per annum.  Repayment is tapered or lower in the first few years and increasing the remaining years so as to align with the recovery of the markets.  The loans can be used as working capital to build-up inventory or for construction, repair or purchase of equipment.  Priority is given to SMEs that have been heavily damaged by the ensuing calamity.