For the second consecutive year, the Bangko Sentral ng Pilipinas (BSP) has cited the Industrial Guarantee and Loan Fund (IGLF), which is managed by the Development Bank of the Philippines (DBP), as Outstanding CSF Program Partner during the 2016 Annual Awards Ceremony and Appreciation Lunch for BSP Stakeholders held on 13 July 2016.
The Outstanding CSF Program Partner Award recognizes partners that contribute to exemplary performance of the Credit Surety Fund (CSF) and promote an environment conducive to the growth of sustainable development of micro, small and medium entrepreneurs (MSMEs) through greater access to bank credit.
The CSF is a credit enhancement scheme conceptualized by the BSP, and approved by the Monetary Board on 2 July 2008, which aims to improve the bankability and creditworthiness of capital-short MSMEs, including cooperatives and non-government organizations, with the end in view of addressing MSMEs’ difficulty in obtaining loans from banks due to lack of collateral, lack of credit knowledge and credit track record with banks.
IGLF has always been supportive of the CSF Program. Of the aggregate approved amount of P99-million for CSF contribution, it has released P73.23-million to 33 CSFs as of 30 June 2016, with the following new entrants: Nueva Ecija, Santiago City, Malaybalay, Valencia City, Parañaque City, and Cabanatuan City.
Through the CSF Program, there is now nationwide, a total of P2.7-billion accumulated approved loans to 15,275 MSMEs. Of the total loans approved, P2.41-billion was released to 15,252 MSME beneficiaries and cooperatives engaged in various industries such as agricultural production, services, trading, and others.