Small businesses and overseas Filipino workers (OFWs) may borrow up to P100,000 through the Expanded Micro Business Recovery Assistance During Crisis and Emergency (EMBRACE) Program of the Iloilo Provincial Government.
The Sangguniang Panlalawigan has passed the Provincial Ordinance 2020-07-06 entitled “An Ordinance Implementing the Expanded Micro Business Recovery Assistance During Crisis and Emergency (EMBRACE) Program on Tuesday, October 13, 2020. The Ordinance was authored by 4th District Senior Board Member Rolando Distura and sponsored by 3rd District Board Member Jason Gonzales and 4th District Board Member Domingo Oso, Jr.
Under the ordinance, micro-enterprises with two or more employees aside from the owner may avail of loans from P20,000 up to P100,000. The business must be in operation for more than one year in the province of Iloilo, with barangay certificate of the owners, and proof that the business is affected by the pandemic.
For OFWs, applicants must be residents of Iloilo Province who were displaced due to pandemic. They must show proof of employment abroad with salary coming from the employer not the local agency, and an active member of Overseas Workers Welfare Administration (OWWA) for more than two years.
Documentary Requirements
- Signed application form
- Annual Income Tax Return/In-house Financial Statement
- Mayor’s Permit/DTI/SEC Registration/Barangay Business Permit
- Post-Dated Check or presence of co-maker
- Sworn affidavit that the applicant has not received any loan assistance from government agencies
For OFWS
- Business plan (LEDIP Center will assist)
- Application form
- Passport or boarding pass
- Proof of overseas employment
- Proof of loss of employment including termination letter
- Sworn affidavit that the applicant has not received any loan assistance from government agencies
- OWWA document showing that the OFW was repatriated
Qualified micro-enterprises and OFWs may avail of P20,000 up to P100,000 loans without interest but with a 3 percent service fee just like other loan facilities.
Loans of P20,000 to P50,000 pesos are payable within 12 months, while those from P51,000 to P100,000 are payable in 24 months. Monthly amortization will start 6 months after the loan, and a penalty of 0.5% will be imposed on delayed payment for one month.
The Technical Working Group will still draft an Implementing Rules and Regulations (IRR) of the ordinance on November 19. The Province has earmarked P15 million for the program which will be evenly distributed to five districts, or P3 million per district. Of the amount, P2 million will be alloted to micro enterprises and 1 million for OFWs. (via Sanggunian In Acttion FB)
