First, the governor sought support on his proposal the provincial government may avail of a loan from Land Bank of the Philippines or Development Bank of the Philippines and it would be passed on to small businesses who need the working capital.
He is negotiating for a zero-percent or up to one-percent-interest loan and a grace period of two years so that the payment of amortization would start on the third year yet.
The governor said national agencies may give support through grants for the MSMEs.
The second point that Yap raised was the need to call on the Bangko Sentral ng Pilipinas to allow all debtors to exercise the option of restructuring their loans without penalties or surcharges that may be imposed against them for so choosing to restructure their loans.
This is in consideration that the borrowers at this time of the pandemic could operate in a limited capacity or have stopped operation because of the preventive measures implemented all over the Philippines to limit the human interaction to contain the infection of Covid 19.
Yap explained that the normal policy of the BSP is to impose penalty on restructured loans because restructured loans are considered as failed loans.
The governor is asking the BSP to relax on their rules at this time of the pandemic just so confidence in business would be regained.