STATE-owned Development Bank of the Philippines (DBP) is campaigning for private workers’ groups and employers to avail of a loan facility that will enable them to purchase buses to be used as shuttle services of employees, preferably buses that make use of clean and environment-friendly fuel.

DBP is now prepared to extend loans for purchase of environment-friendly transport facilities like the EURO model standards (Euro 2 and 3 engines); and LPG-powered vehicles.

The loans carry a maximum term of five years with interest rate of 9 to 9.5% per annum.

DBP president and chief executive officer Reynaldo David said that this aims to mitigate the effects of rising fuel prices on ordinary wage-earners.

At the same time, David said that the moves are DBP’s response to the call of President Gloria Macapagal Arroyo for more non-wage benefits for workers.

Under its Environmental Developmental Program, DBP already provides funding assistance to eligible investment enterprises in the transport sector, fuel supply infrastructure equipment supply and support industries.

To date the bank has already released P102 million to five transport companies to finance the acquisition of 27 buses that are compliant with Euro 1 and 2 standards. These buses ply Central Luzon, Pasay-Laoag, Cubao-Laoag, Olongapo-Manila and Zambales-Manila routes.

An additional P200 million has been released under the Bank’s wholesale lending program for a total of 61 Euro 2 compliant buses plying routes in Visayas and Mindanao.

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