DBP inks pact with SB Corp to boost MSME recovery
TO BOOST LOCAL ECONOMY
GOOD news for MSMEs stakeholders in Pangasinan.
The Development Bank of the Philippines (DBP) has partnered with the Small Business Corporation (SB Corp.) for the establishment of a strategic client referral and management system to efficiently manage the assistance programs for micro, small and medium enterprises (MSMEs) of the two institutions in the countryside.
DBP President and Chief Executive Officer Emmanuel G. Herbosa said the bank’s memorandum of understanding (MOU) with SB Corp. will enhance the implementation of the DBP RESPONSE to accelerate MSME Recovery (MSME RECOVERY) program, and SB Corp.’s Covid19 Assistance to Restart Enterprises (CARES) program.
DBP is the sixth largest bank in the country in terms of assets and provides credit support to four strategic sectors of the economy – infrastructure and logistics; micro, small and medium enterprises; the environment; and social services and community development while SB Corp., an attached agency of the Department of Trade and Industry, is mandated to formulate and implement policies and programs benefitting MSMEs including financing, information services, training and marketing.
Under the partnership, the two institutions will segment the applicants according to asset size with DBP handling applications of enterprises with an asset size of more than P15-million while firms whose assets are less than P15-million will be referred to SB Corp.
DBP and SB Corp. will collaborate in crafting marketing strategies and undertake joint promotional activities for both DBP’s MSME RECOVERY and SB Corp.’s CARES programs.
DBP will also serve as a depository/disbursing bank and conduit for SB Corp.’s programs and project funds.
Last year, President Rodrigo Duterte signed into law Republic Act No. 11494, or the Bayanihan to Recover as One Act, which directs DBP and SB Corp to introduce low interest and/or flexible term loan programs to support businesses affected by the COVID-19 pandemic. (Contributed)
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