LandBank allots P8.3M for returning OFWs

The Land Bank of the Philippines has earmarked at least P8.3 million in loan packages for returning overseas Filipino workers (OFWs) who want to begin their own business in the Philippines.

The loans are intended to provide economic opportunities for returning OFWs affected by political crises in the Middle East and other countries stricken by natural calamities.

The loan is for returning OFWs who want to start their own businesses in areas such as Bulacan, Pampanga, Zambales, Batangas, Iloilo, Bacolod, Cebu, Bukidnon, Davao, and Pasay.

LandBank said the amount forms part of the government’s P2-billion reintegration loan program.

The LandBank is implementing the reintegration program together with the Overseas Workers Welfare Administration (OWWA) and the Development Bank of the Philippines.

“The program aims to provide economic opportunities for returning OFWs affected by political crises in the Middle East and other countries seriously stricken by natural calamities,” the LandBank said.

LandBank president and chief executive officer Gilda Pico said the government will provide modules that contain information on investment requirements and projected monthly income from the different businesses.

Under the program, qualified OFWs may borrow from P300,000 to as much as P2 million at 7.5 percent interest per year, payable within one year or a maximum term of seven years.

The program also stipulates that LandBank will extend loan up to 80 percent of the total project cost while the remaining 20 percent will be provided by the borrower as equity.

“Qualified borrowers are OWWA-certified OFWs who can no longer work overseas and who now want to engage in business and need financing assistance for working capital and fixed asset acquisition their preferred business,” LandBank said.

“Eligible projects are those with confirmed market, market contract, or service contracts that will generate an income of at least P10,000 every month,” the bank also said. – JE/VVP, GMA News