City gov’t to turn over equity to credit surety fund

DAVAO CITY (MindaNews/20 Sept) – The city government will turn over a check worth P5.4 million as its equity to Davao City Credit Surety Fund (DCCSF) on October 27 during the culmination program of the cooperative month celebration, a government officer said Thursday.

Engineer Jaime G. Adalin, officer in charge of the City Cooperative Development Office (CCDO), guesting at the regular I-Speak media forum, said officers of at least 18 cooperatives who joined the DCCSF are currently undergoing trainings.

“Capability building and trainings are necessary to protect the investment of the cooperatives,” he told journalists, noting that they had been to at least three trainings since the signing of MOA.

He added that probably, there will be takers of loans by the end of this year.

The local government and the Bangko Sentral ng Pilipinas (BSP) initiated the DCCSF, which was launched last July through signing of a memorandum of agreement with the cooperatives, Land Bank of the Philippines, Industrial Guarantee Loan Fund and the Development Bank of the Philippines.

With the cooperatives as one party, each of the signing parties will contribute a total of P5.4 million to the credit surety fund that will be used in case cooperatives would default.

The cooperatives can avail of loans as much as 10 times the amount of their contribution based on the MOA with limited interest and no collateral.

The fund will be deposited in a commercial bank and supervised by an oversight committee composed of representatives from involved parties, Adalin said.

A credit enhancement scheme developed by the BSP, the DCCSF is primarily established to support micro, small and medium enterprises who are members of the cooperative.

The CCDO has lined up activities for this year’s cooperative month celebration dubbed “Cooperative Enterprises Build a Better World” that will kick off on October 3 with a launching program at the Davao Recreational Center, Almendras Gym.

There will be a tree planting activity dubbed “Lunhaw Dabaw Program” on October 1 at the riverbank in Pangi, Talomo District, mangrove area in Bucana, Poblacion, and upland of Ladian, Marilog District.

In addition, the celebration will include trade fair and exhibits on October 15-19 at the Sangguniang Panlungsod lobby and Osmeña Park, San Pedro Street here, a series of cooperative seminars on October 15-19, and free medical and dental service at Barangay Mahayag, Bunawan District. (Lorie Ann A. Cascaro / MindaNews)

Comments

comments