The Department of Trade and Industry (DTI) is forging an agreement with Philippine Guarantee Corp. (PhilGuarantee), Social Security System, and Pag-Ibig to expand the PHP2-billion Electric Transport Loan Program of the SB Corp., the government’s micro financing arm.
Trade and Industry Secretary Cristina Roque told reporters at the awarding of the initial batch of 10 transport cooperatives for their loans of PHP3-million each or a total of PHP30 million to fund their purchases of electric vehicles to shift to clean mobility from the internal combustion engine vehicles.
Roque said that the PHP2-B facility from SB Corp is almost used up as there are more participants in the program. Thus, she citef the need to top up the funding requirement.
For instance, the DTI chief has already spoken with motorcycle taxi operator Angkas, which has 30,000 motorcycle riders who may avail of the electric vehicle loan facility.
Thus, Secretary Roque initiated the talks with other concerned government agencies to expand the program beyond the small transport groups or transport cooperatives.
“So, we can all work together, whole of government approach on this. In fact, we should be signing the memorandum of understanding (MOU) soon,” she said.
According to the DTI chief, once the PhilGuarantee is onboard, borrowers can borrow from other banks. “I mean we need to be able to be creative also in trying to find a way for them to at least make the shift easy for them,” she said.
As the Philippine government’s principal agency for state guarantee finance, of the Philippines, Philguarantee provides credit guarantee in support of trade and investments, exports, infrastructure, energy, tourism, agricultural business/modernization, housing, MSMEs and other priority sectors of the economy, with the end in view of facilitating and promoting socio-economic regional development.
Secretary Roque explained that the PHP2-billion SB Corp E-Transport Loan program is geared for micro, small and medium enterprises (MSMES).
By opening more loan facilities for EV acquisition, the shift to clean motor vehicles would be made faster and easier.
