Pag-IBIG admits facing challenges in 4PH program

CEBU, Philippines — An executive of the state-run Pag-IBIG Fund has admitted that the implementation of Pambansang Pabahay para sa Pilipino Housing (4PH) program is facing several challenges.

Rio Teves, Pag-IBIG Fund vice president for member services operation for Visayas and Mindanao, admitted that identifying suitable beneficiaries and reliable partners are among the challenges in implementing the program.

He explained that the program is in tripartite structure that requires collaboration between Pag-IBIG as the financier, Local Government Units for the land and selection of beneficiaries, and developers for the construction and development of the housing projects.

According to Teves, some LGUs are struggling to provide suitable land for housing developments and the high cost of acquiring significant lots to accommodate the volume of housing needed.

“We have willing developers but the LGUs are still looking for the possible land as a location for the members and houses,” said Teves.

Processing the required documentation for land conversion is also another challenge. Converting agricultural land into residential areas is a time-consuming process, and this has affected the implementation of the 4PH projects.

Recently, Pag-IBIG signed a memorandum of agreement for housing projects in Toledo, Tuburan, and Cebu City.

Toledo and Tuburan are still in the process of identifying the project site while Cebu City has identified the South Road Properties (SRP) for the project.

Teves explained that once the buildings are constructed and ready for occupancy, Pag-IBIG Fund will assist buyers through financing options.

For members who wish to participate in the 4PH Program but face financial constraints, Teves said that Pag-IBIG is open to exploring ways to make financing more accessible.

“Let’s encourage the LGU and the DHSUD (department of Human Settlements and Urban Development). It's the proper agency to come up with rules to maybe adjust the requirement. Basta sa PAG-IBIG funds, finance lang,” Teves said.

The 4PH program is expected to provide affordable housing for minimum-wage earners, informal settlers, those residing in danger zones, and marginalized community members seeking simple, comfortable, and low-cost homes.

“I can guarantee that Pag-IBIG Funds has a total 240 billion (pesos) allotted from 2022 to 2028 and that is to provide financial assistance to our growing members who are still without homes,” said Teves.

The initiative prioritizes beneficiaries referred by LGUs, the Department of Migrant Workers (DMW), and other recognized institutions.

Eligible applicants must be active Pag-IBIG members with at least 24 months of contributions and be under 70 years old by the loan’s maturity.

To apply, members should contact their LGUs to identify available 4PH projects in their areas.

After selecting a property, applicants must meet the pre-qualification requirements set by the LGU. The LGU will then submit the list of qualified applicants to the Pag-IBIG Fund, which will begin the assessment and approval process. –/FPL (FREEMAN)

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