The LAND Bank of the Philippines announced on Wednesday that its agricultural loans totaled 236.8 billion pesos at the end of March this year.
This makes LandBank the biggest lender in the agricultural sector.
The loans have been used to finance various economic activities of major industry players – from small farmers and fishers to large agribusinesses, as well as local governments and government owned and controlled corporations (GOCCs) for projects related to agro-aquatics and the construction of the necessary infrastructure such as public markets, cold stores, irrigation systems, roads leading from farm to market, warehouses and slaughterhouses.
Small-scale farmers and fishers have benefited from loans of 35 billion pesos channeled through farmers’ cooperatives and associations, rural financial institutions and other LandBank partner channels.
“We continue to step up our support for the agricultural sector, especially the farmers and fishers we celebrate this May. LandBank is committed to providing fast and responsive support to increase their production and revenue,” said Cecilia Borromeo, President and CEO. executive of LandBank.
Financing for small, medium and large agribusinesses accounted for 146.62 billion pesos of total loans, 55.19 billion pesos supported local governments and GOCCs, and the remaining 99.64 billion pesos supported construction and improving critical infrastructure.
In terms of economic activities, 56.39 billion pesos of LandBank’s total agricultural sector loans financed crops, livestock and fisheries, while 80.83 billion pesos were channeled to the agribusiness and trade.
As part of its intensified support to the agricultural sector, the public lender continues to implement regular loan offerings alongside loan programs in partnership with the Department of Agriculture (DA) and the Department of Land Reform ( DAR).
As of March 31 this year, it had disbursed a total of P12.51 billion under the programs administered for the Department of Agriculture, which include the Agricultural Competitiveness Improvement Fund, the Socialized Credit Scheme under the Sugar Cane Industry Development Act, expanded credit assistance for rice under the Rice Competitiveness Improvement Fund, Survival Assistance Program and the recovery of rice farmers (SURE Aid) and SURE Covid-19.
Meanwhile, the bank’s cumulative loan releases under DAR’s credit assistance program for the development of program beneficiaries reached 700 million pesos.
LandBank said it remains fully committed to advancing a more vibrant, productive and resilient agricultural sector in line with service to the nation.