BAGUIO CITY (PIA) -- The Land Bank of the Philippines (LBP)   supports  the development of the bamboo industry in the country through the KAlikasan, Kabuhayan sa WAstong PamaYANan or KAWAYAN Financing Program.

LBP Assistant Vice President and Benguet Lending Center Head Jaime Cruz said that the program aims to provide credit assistance to various players in bamboo production and bamboo basic economic activity and assist local bamboo players gain a big chunk of the multi-billion dollar industry. It also aims to help the government in making the country as the world's biggest bamboo producer and increase farm productivity and household income and generate employment.

"In bamboo, Landbank will be able to attain triple bottom line-that is economic value, social and environmental importance," Cruz said. 

Eligible borrowers include cooperatives, federations, associations, non-government organizations, countryside financial institution, small and medium enterprises, agri-business entities, and local government units.

 The bank may finance loans for production, permanent working capital, rediscounting, and fixed assets acquisition for bamboo production, processing and other bamboo based economic activities.

Cruz said that the interest rate adopts the regular pricing structure for each identified client sector.

 
"The interest rate is depende sa proposal. The rate is negotiable naman, titingnan natin 'yung magandang rates," he said.
 

The maximum loanable amount is 80 percent based on the commodity module for bamboo or technology protocols published by appropriate entity or based on the technology protocol agreed upon by the parties.

For local government units, they are allowed to borrow not more than the net borrowing capacity.

 
"Ang puwedeng ipahiram ng Landbank is up to 80%. So, kung ang project cost po ninyo is one million, ang puwedeng hiramin ng magsasaka ng kawayan is up to P800,000, 'yung  P200,000, 'yun po 'yung equity niya," Cruz explained.

 
Approval of loan application may take 45 days upon completion of requirements.

Interested borrowers are advised to visit the Landbank Field Unit nearest them. (JDP/DEG-PIA CAR)