UAE to offer low-cost loans to OFWs: Baldoz

MANILA, Philippines – The United Arab Emirates (UAE) will offer low-cost loans to overseas Filipino workers (OFWs) and their families, Labor Secretary Rosalinda Dimapilis Baldoz said in a press statement.

She said the program is under the UAE’s Wage Protection Scheme.

Baldoz discussed the scheme with the UAE Minister of Labor H.E. Sarq Ghobash.

“Minister Ghobash assured me that the UAE will issue low-cost family loans to our OFWs before their departure from the Philippines. The amount of the loan will be equivalent to a 2-month salary,” Baldoz said.

She added that the scheme will be implemented jointly with Philippine banks and the UAE will guarantee the loan payment.

However, the Philippines and the UAE have yet to discuss the project at the technical level.

According to Baldoz, the UAE is also continuing its efforts to protect migrant workers. It is also planning a contract validation program, which is an an electronic system of registering and recording migrant workers’ employment contracts.

“The system… will eliminate contract substitution and allow both workers and employers to refer to just one contract,” Baldoz said.

She added that the UAE is planning to implement the contract validation program in July. –abs-cbnNEWS.com