Bataan palay farmers Godofredo Magpoc (leftmost), Danilo Zulueta (upper right), and Roberto Morales (lower right) reap the benefits of financial assistance from the Expanded Rice Credit Assistance under the Rice Competitiveness Enhancement Fund (ERCA-RCEF) Program of Land Bank of the Philippines (LANDBANK) and the Department of Agriculture (DA) for the production requirements of their rice fields.
BATAAN – For the past 37 years, Godofredo Magpoc has provided for his family by growing different varieties of palay in his 2-hectare farm in Orion town. But with the recent decline in palay prices affecting his income, raising capital to sustain his livelihood has become a challenge.
“Sa panahon ngayon, lubhang napakahirap para sa isang magsasaka ang mawalan ng puhunan. Kaya naman napipilitan humiram sa patubuan (informal lenders),” Magpoc said.
In December 2019, Magpoc learned about the Expanded Rice Credit Assistance under the Rice Competitiveness Enhancement Fund (ERCA-RCEF) Program of the Land Bank of the Philippines (LANDBANK) and the Department of Agriculture (DA). This credit facility aims to boost the productivity and income of small rice farmers, and cushion the initial impact of Republic Act No. 11203, also known as the Rice Tariffication Law (RTL).
Under the ERCA-RCEF, individual farmers may borrow up to 90% of the total project cost—at a fixed interest rate of 2% per annum—for the purchase of farm inputs for rice and rice seed production, and acquisition of farm machineries and equipment for production and post-production.
Magpoc successfully applied for a loan of P78,500.00 from LANDBANK, which he used to purchase farm inputs and hire additional farm workers. Since availing of the ERCA-RCEF Program, he has seen an increase in yield of about 30-40 cavans of rice every harvest season. He will be availing his fourth loan under the Program this May 2021.
“In partnership with the Department of Agriculture, LANDBANK remains focused on delivering responsive financial services most especially to rice farmers and cooperatives. Through the ERCA-RCEF Program, we aim to increase their productivity and income through timely and accessible financial assistance,” said LANDBANK President and CEO Cecilia C. Borromeo.
Like Magpoc, palay farmer Danilo Zulueta from the Municipality of Pilar, also enjoyed the benefits of the ERCA-RCEF Program. A farmer for the past 20 years, he was granted a loan of P61,500.00 last December 2020 to support his 1.5-hectare rice field, which he used for land preparation, and to buy fertilizers and pesticides.
“Malaki ang naitulong ng pautang ng LANDBANK at DA. Dahil sa sapat na puhunan, nakapagpatanim ako ng naaayon sa bilang ng araw ng punla at nakapagsabog ng abono (fertilizer) sa tamang panahon. Dahil dito, naniniwala akong magkakaroon ako ng masaganang ani at siyempre, magkakaroon ng karagdagang kita,” said Zulueta.
For Roberto Morales, another palay farmer from Balanga City, the ERCA-RCEF Program is the best alternative from informal lenders who charge higher interest rates. Under the Program, LANDBANK granted him a loan of P82,000.00 in December 2019 which he used as additional capital to purchase fertilizers and pesticides.
“Malaki ang naitulong ng perang nahiram ko mula sa LANDBANK. Tumaas ang aking kita dahil 2% per annum lang ang interest rate ng ERCA-RCEF kumpara sa iba na may mataas na interes,” said Morales.
Continuing support for palay farmers
Under the ERCA-RCEF Program, LANDBANK has cumulatively released P1.03 billion in loans to 6,214 eligible borrowers composed of palay farmers and cooperatives as of April 30, 2021.
Most of the farmer-beneficiaries were from Region 2—particularly the rice-producing provinces of Cagayan, Nueva Vizcaya and Quirino—where LANDBANK assisted a total of 3,129 rice farmers and 19 cooperatives.
DA-accredited cooperatives may also borrow under the ERCA-RCEF Program for the purchase of farm inputs for rice and rice seed production as a collective operation, working capital for rice and rice seed trading, and other rice farming-related activities such as the acquisition of machineries and equipment, as well as relending and rediscounting of existing loans of small rice farmers listed in the Registry System for Basic Sectors in Agriculture (RSBSA).
For on-lending, the interest rate is at 0% per annum with prescribed pass-on rate to end-borrowers of up to 6% per annum.
As mandated by Republic Act No. 11203, LANDBANK shall continue to administer the ERCA-RCEF Program for DA until 2024, and make available P500 million in loans annually to rice farmers registered to the RSBSA in 38 rice-producing provinces.
For more information about LANDBANK’s Lending Programs, interested borrowers may contact the nearest open LANDBANK Lending Center or Branch nationwide, or call LANDBANK’s customer service hotline at (02) 8-405-7000 or at PLDT Domestic Toll Free 1-800-10-405-7000.
LANDBANK expands operations in Davao de Oro, opens new branch
(left photo) LANDBANK President and CEO Lynette V. Ortiz (6th from right) and Davao de Oro First District Representative Congresswoman Maria Carmen S. Zamora (8th from right) lead the ribbon cutting at the inauguration of the LANDBANK Monkayo Branch in Davao de Oro on 09 November 2023. Joining them are LANDBANK Director Atty. David D. Erro (4th from right), Monkayo Councilor Manuel N. Zamora, Jr. (10th from right), together with other LANDBANK senior executives and local government officials. MONKAYO, Davao de Oro – The Land Bank of the Philippines (LANDBANK) continues to advance financial inclusion in the country with the opening of its newest branch in the first-class town of Monkayo in the province of Davao de Oro. Located in Barangay Poblacion, the LANDBANK Monkayo Branch makes banking services more convenient to clients from the 73 combined barangays of Monkayo and the neighboring towns of Compostela, Montevista and New Bataan. This is the second LANDBANK branch in Davao de Oro, replacing the previous LANDBANK Easy Access Facility (LEAF) in the municipality, to provide improved and expanded banking services to the Province. LANDBANK President and CEO Lynette V. Ortiz and Davao de Oro First District Representative Congresswoman Maria Carmen S. Zamora led the inauguration rites for the LANDBANK Monkayo Branch on 09 November 2023. They were joined by LANDBANK Director Atty. David D. Erro, Monkayo Councilor Manuel N. Zamora, Jr., and other LANDBANK senior executives and local government officials. “To keep in stride with local developments—not to mention Monkayo being the most populous town in the Province—we deemed it fitting to upgrade the previous LEAF into a full-fledged branch. We are now able to offer a wider range of services, as we complement the local government's vision of establishing a one-stop shop for basic public services,” said LANDBANK President Ortiz. For her part, Congresswoman Zamora thanked LANDBANK for its unwavering service to the nation and the Filipino people. “Without LANDBANK, government could not reach far-flung areas and could not reach ordinary Filipinos who need services,” she said. The newly inaugurated branch is equipped with an automated teller machine (ATM) and cash deposit machine (CDM) to facilitate fast, safe, and timely cash withdrawals and deposits of residents from the covered areas. LANDBANK clients who will benefit from the new touchpoint include over 53,000 Conditional and Unconditional Cash Transfer (CCT/UCT) program beneficiaries of the Department of Social Welfare and Development (DSWD), 7,000 farmers and fishers, as well as government employees, teachers, and students, among others. The LANDBANK Monkayo Branch likewise features a Digital Corner where customers can open a deposit account in as fast as 15 minutes or less using the Bank’s Digital Onboarding System (DOBS). Opening an account via DOBS provides automatic enrollment to LANDBANK’s digital banking channels for safe and convenient online transactions. LANDBANK is the only bank present in all 82 provinces in the country, with a network of 606 branches and branch-lite units and 59 lending centers, 16 of which are in Mindanao. LANDBANK’s continued expansion across the country underscores its commitment to bringing banking services closer to its mandated and priority sectors, especially in unbanked and underserved areas.LEARN MORE
Batanes LGU, LANDBANK ink partnership for convenient online payments
Batanes Governor Marilou H. Cayco (2nd from left) and LANDBANK Basco Branch Head Joseph Caliguiran (3rd from left) lead the MOA signing for the use of the LANDBANK Link.BizPortal facility on 12 October 2023. Joining them are Acting Provincial Treasurer Cristina Caccam (leftmost) and LANDBANK Acting Branch Service Officer Aniceto Ferdinand Mariano (rightmost). BASCO, Batanes – The Provincial Government of Batanes and the Land Bank of the Philippines (LANDBANK) have partnered for the use of the Bank’s Link.BizPortal channel to facilitate online payments for the local government unit (LGU). The LANDBANK Link.BizPortal allows residents to conveniently settle local fees, dues, and charges online at their convenience with just a few clicks on their computers or mobile devices. “LANDBANK will continue to support the digital journey of Batanes with innovative products and services. We look forward to more fruitful collaborations in advancing responsive public service delivery,” said LANDBANK President and CEO Lynette V. Ortiz. Batanes Governor Marilou H. Cayco and LANDBANK Basco Branch Head Joseph Caliguiran led the signing of the Memorandum of Agreement for the partnership at the Provincial Governor’s Office on 12 October 2023. Governor Cayco thanked LANDBANK for its continued assistance and promoted the utilization of the Link.BizPortal among Ivatans. “Dahil dito, mas mapapadali at mapapagaan ang pagbabayad ng ating mga customers. Maraming salamat sa buong LANDBANK lalo na kay Manager Caliguiran sa walang humpay na tulong sa Kapitolyo at sa buong Batanes,” Governor Cayco said. The Provincial Government of Batanes has been the top depositor of the LANDBANK Basco Branch since 1992 and remains among its valued clients. It is also the first LGU in Batanes to avail of the Bank’s various digital banking products, including ATM payroll servicing and weAccess, among others.LEARN MORE
P4.3-B LANDBANK loan to back Pangasinan’s infra, health dev’t
Pangasinan Governor Ramon V. Guico III (3rd from left) and LANDBANK President and CEO Lynette V. Ortiz (4th from left) lead the signing of a P4.3 billion sub-loan agreement to finance the Pangasinan LGU’s various development projects on 25 October 2023 at the LANDBANK Plaza in Malate, Manila. They are joined by Vice Governor Mark Ronald DG. Lambino (2nd from left), Provincial Administrator Melicio F. Patague II (leftmost), and LANDBANK Senior Vice Presidents Ma. Celeste A. Burgos (5th from left) and Filipina B. Monje (rightmost). MALATE, Manila – The Land Bank of the Philippines (LANDBANK) greenlighted a P4.3 billion loan to the Provincial Government of Pangasinan, geared towards the improved delivery of public, health and tourism services in the Province. The loan is part of the P6 billion omnibus term loan agreement signed by the LGU and the state-run Bank earlier this year to fund the priority development projects in Pangasinan. The signing of the agreement was led by Pangasinan Governor Ramon V. Guico III and LANDBANK President and CEO Lynette V. Ortiz on 25 October 2023 at LANDBANK Plaza in Malate, Manila. They were joined by Vice Governor Mark Ronald DG. Lambino, Provincial Administrator Melicio F. Patague II, Acting Provincial Treasurer Cristy C. Ubando, Provincial Legal Officer Atty. Baby Ruth F. Torre and Provincial Accountant Atty. Marlon C. Operaña, along with LANDBANK Senior Vice Presidents Ma. Celeste A. Burgos and Filipina B. Monje. “LANDBANK remains committed to supporting Pangasinan’s transformative journey towards a more inclusive and sustainable local economy through our wide array of support services. We look to expedite progress within the Province for the improved delivery of basic and medical services, increased socio-economic activities, and a more robust local tourism sector,” said President Ortiz. Of the P4.3 billion loan, P1.8 billion is earmarked for the construction of an 11-storey government center in the Municipality of Lingayen, designed to house the offices of the Provincial Government and national government agencies. Another P500 million is allocated for the development of the Provincial Capitol Complex. To provide better health care for Pangasinenses, P758 million will be used for the purchase of advanced hospital equipment, including computed tomography (CT) scanners, x-ray, magnetic resonance imaging (MRI), and ultrasound machines for the Pangasinan Provincial Hospital, six (6) district hospitals and seven (7) community hospitals in the Province. Meanwhile, P700 million is set to fund the acquisition of land and construction of support facilities for the Bolinao airport in Bolinao, Pangasinan. The remaining P500 million will help establish a corporate center for businesses and other commercial spaces to help stimulate local economic activity. “We’re rolling out and implementing impactful projects that will boost the economy and improve the lives of our people. We are thankful for our partners like LANDBANK, who are ready to support us as we invest in the future of Pangasinan,” said Governor Guico III. LANDBANK remains a major development partner of the local government sector, supporting the financing requirements for inclusive local development in line with its broader thrust of serving the nation.LEARN MORE