BPI plans entry into SME agribiz lending business
THE COUNTRY's second largest lender, Bank of the Philippine Islands
(BPI), is looking at extending loans to small- and medium-sized
agribusinesses and is seeking the help of the World Bank's private
sector investment arm, International Finance Corp. (IFC), to gain
competence in this arena.
"These are early days, but we are looking at expanding our collaboration
with the IFC, and one area we are looking at is the agribusiness space,"
said Alfonso L. Salcedo, Jr., BPI executive vice president and corporate
banking group, after the signing of a grant agreement with the IFC
yesterday.
BPI and the IFC are presently partners in a program that extends loans
to small- and medium-sized firms undertaking clean energy and energy
efficiency projects. IFC extends investment advisory services and
guarantees part of the loans given by BPI.
The two yesterday signed the agreement covering the $1.24-million grant
that BPI won as one of the global winners of the IFC-administered G-20
SME Finance Challenge.
For the agricultural loans program, Mr. Salcedo said BPI may ask IFC to
give investment advisory or enter into a risk sharing arrangement.
"We can do agri-related loans but we don't have the level of comfort for
lending because we do not have the expertise in lending to the agri
space. With the expansion of our partnership with the IFC, could get
into that space," Mr. Salcedo added.
BPI's outstanding loans to the agriculture sector presently totals to
just around P10 billion.
"We lend through cooperatives and to end-users at present. End-users are
the owners of feedmills, factories and distributors, among others,"
Nanette A. Biason, BPI assistant vice president, said at the sidelines
of the same event.
"We don't have direct lending to farmers, we use cooperatives as our
conduits to small farmers," she added.
For his part, Jesse O. Ang, IFC resident representative to the
Philippines, said: "We are a tropical country so we can grow a lot of
[crops] here. And we have a lot of issues to deal with such as the
Agri-Agra Law. We also need to support the farmers with knowledge and
financing."
"What we would like to do is to look into the agribusiness space,
primarily on the advisory side... We have people who understand agri
financing," he added.
Republic Act 10000 or the Agri-Agra Reform Credit Act of 2009 orders
banks to set aside at least 25% of their total loanable funds for
agriculture and agrarian reform.
BPI President Aurelio R. Montinola III, at the sidelines of the signing
ceremonies yesterday said: "We have an interest in the agriculture
sector... but BPI tends to cautiously go into the sector because there
is unfamiliarity. That is why we are seeking the help, particularly
investment advisory, of the IFC."
"We are entering a space where the more you do this kind of financing,
then the more you can avoid mistakes moving forward," he added.
Regarding BPI's $1.24-million grant, Ms. Biason said it will be used to
"improve the market's awareness through education of SMEs in energy
efficiency and renewable energy projects."
"It will also be used to enhance the capacity of the bank's lending
group through training and marketing tools to provide better financing
and technical services to clients," she added. -- ARRG
--
------------------------------------------------------------------------
CARLOS ANI - International Microfinance Consultant - SEEDFINANCE Corporation Chairman
Mailing address: PO Box 90 UPLB Los Banos Laguna, Philippines 4031
Emails: carlosani@gmail.com , carlosani@seedfinance.net
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Tuesday, May 22, 2012
Thursday, May 17, 2012
Enhanced SPRB launched
Enhanced SPRB launched
0 Email1 0 ShareThis1
THRIFT and commercial banks have been added to the list of “white knights” to problematic rural banks, in an enhancement of a program designed to strengthen the rural banking sector.
They dubbed the new program SPRB Plus, pointing out that the original program, SPRB, allowed only “strong” rural banks to act as white knights to other rural banks.
SPRB Plus, according to the BSP statement, “is envisioned to further strengthen the rural banking system, boost confidence, and improve the delivery of financial services to rural communities.”
It should result in faster consolidations among rural banks, the central bank added.
The SPRB is a P5-billion program initiated by the BSP and PDIC in August 2010. A two-year program, it will end in August this year.
The SPRB Plus will utilize the original program’s remaining funds. It will take effect immediately and will be in place until December 31, 2013.
The original program extends financial assistance, subject to the approval of both the BSP and PDIC, to strategic third party investors that want to consolidate or merge with capital-deficient rural banks.
The new program “offers a variety of financial and regulatory relief and incentives to improve the prospects for success of new banking partnerships,” the BSP said.
“Financial assistance may be granted by PDIC to augment capital shortfalls and attract new investors. BSP has also put on the table an expanded package of regulatory relief and branching incentives for commercial, thrift and rural bank that step forward as white knights,” it added.
Central bank officials, however, were not available yesterday to expound on this “expanded package” of incentives.
The BSP and the PDIC claimed they received “strong expressions of interest” from banks about SPRB Plus.
For the SPRB, the PDIC has received 17 applications involving 31 rural banks for the SPRB as of March 2012. Four of these applications have been approved while two are being processed.
For the Strengthening Program for Cooperative Banks (SPCB), which seeks mergers, consolidations and acquisitions in the cooperative banking sector, 24 out of the 40 cooperative banks have expressed interest. The SPCB, the first enhancement of the SPRB, was launched in November 2011.
“PDIC is now evaluating three SPCB applications involving 14 cooperative banks,” according to the statement.
-- ------------------------------------------------------------------------ CARLOS ANI - International Microfinance Consultant - SEEDFINANCE Corporation Chairman Mailing address: PO Box 90 UPLB Los Banos Laguna, Philippines 4031 Emails: carlosani@gmail.com , carlosani@seedfinance.net Landline Phone: +63495010127 (PLDT) Cellphone Numbers: +639152919580 (Globe) and +639328590859 (Sun) Websites: CARLOSANI.COM - http://www.carlosani.com DEVJOBS - http://www.devjobsmail.com PHILDEVFINANCE - http://phildevfinance.posterous.com My News Clippings - http://www.myclipps.posterous.com Family website - http://www.anifamily.net SEEDFINANCE Corporation - http://www.seedfinance.net Skype name: carlosaniph ----------------------------------------------------------------------- *********** This message is intended only for the named recipient and may contain confidential, proprietary or legally privileged information. No confidentiality or privilege is waived or lost by any misdirected transmission. If you received this message in error, please notify us immediately by telephone at +63495010127 and immediately delete this message from your system. If you are not the intended recipient, you must not use, disclose, distribute or copy any part of this message. Thank you. ***********
Tuesday, May 15, 2012
Agri-Agra guidelines out
Agri-Agra guidelines out
BANKS WILL need to set aside at least 25% of their total funds for
lending to farmers, fisherfolk and agrarian reform beneficiaries
beginning next month after the government issued the implementing
guidelines of the Agri-Agra Reform Credit Act yesterday.
The rules state that banks should allocate at least 25% of their total
loanable funds to the agriculture sector, of which 10% should go to
agrarian reform beneficiaries.
"Excess compliance in the 10% agrarian reform credit may be used to
offset a deficiency, if any, in the 15% other agricultural credit in
general, but not vice versa," the rules read.
The implementing rules and regulations (IRR) drafted by the Bangko
Sentral ng Pilipinas (BSP), the Department of Agriculture (DA) and the
Department of Agrarian Reform (DAR) will take effect 15 days after its
publication yesterday.
Republic Act (RA) 10000 or the Agri-Agra Reform Credit Act of 2009,
approved by then Pres. Gloria Macapagal-Arroyo on February 23, 2010,
amended Presidential Decree 717 signed by then President Ferdinand E.
Marcos on May 29, 1975.
The rules also state the BSP, in consultation with the DA and the DAR,
will prepare the guidelines on the computation of total loanable funds
and how banks can comply with the law on a consolidated or group-wide basis.
BSP Deputy Governor Nestor A. Espenilla, Jr. said in a text message
yesterday the circulars covering the computation of total loanable funds
and banks' consolidated compliance will be released "by Friday."
The rules state that banks can directly comply with the requirements of
RA 10000 through the actual extension of loans to qualifed borrowers or
the purchase of eligible loans on a "without recourse" basis from other
banks.
Alternative modes of compliance are also available:
• investment in bonds issued by the Development Bank of the Philippines
and the Land Bank of the Philippines that have been declared eligible by
the DA, the proceeds of which should be used for lending to the
agriculture and agrarian reform sectors;
• investment in other debt securities that have been declared eligible
by the DA or any agency authorized by the DA;
• subscription to shares of stock in accredited rural financial
institutions (preferred shares only), the Quedan and Rural Credit
Guarantee Corp. or the Philippine Crop Insurance Corp.
• investment in the special deposit accounts of rural financial
institutions that are accredited by the BSP;
• wholesale lending to accredited rural financial institutions;
• rediscounting by universal and commercial banks of agriculture and
agrarian reform credits;
• extension of loans for the construction and upgrade of infrastructure,
including farm-to-market roads and post harvest facilities; and
• grant of loans to warehouses or millers or wholesalers accredited by
the National Food Authority.
Banks that fail to comply with the requirements of the law will have to
pay a penalty equivalent to 0.5% of their non-compliance or
under-compliance, which will be computed on a quarterly basis.
"This is something we have to live with because it is the law," Chamber
of Thrift Banks Executive Director Suzanne I. Felix said in a text
message yesterday.
To be fair to the BSP, she said, banks were consulted in the preparation
of the IRR.
For his part, Banco de Oro Unibank Inc. President Nestor V. Tan said it
would be difficult to meet the required lending to the agriculture and
agrarian reform sectors.
"It is not for lack of trying. I don't think the loan demand from this
sector is big enough to accommodate 25% of the industry's loanable
funds," he said. -- Louella D. Desiderio
--
---------------------------------------------
CARLOS ANI - SEEDFINANCE Corporation - http://www.seedfinance.net
Email: carlosani@seedfinance.net
Landline Phones: +63495010127 and +63495762924
Cellphone: +639152919580
DEVJOBS - http://www.devjobsmail.com
PHILDEVFINANCE - http://phildevfinance.posterous.com
CONSULTING - http://www.carlosani.com
My News Clippings - http://www.myclipps.posterous.com
Family website: http://www.anifamily.net
------------------------------------------
--
------------------------------------------------------------------------
CARLOS ANI - International Microfinance Consultant - SEEDFINANCE Corporation Chairman
Mailing address: PO Box 90 UPLB Los Banos Laguna, Philippines 4031
Emails: carlosani@gmail.com , carlosani@seedfinance.net
Landline Phone: +63495010127 (PLDT)
Cellphone Numbers: +639152919580 (Globe) and +639328590859 (Sun)
Websites:
CARLOSANI.COM - http://www.carlosani.com
DEVJOBS - http://www.devjobsmail.com
PHILDEVFINANCE - http://phildevfinance.posterous.com
My News Clippings - http://www.myclipps.posterous.com
Family website - http://www.anifamily.net
SEEDFINANCE Corporation - http://www.seedfinance.net
Skype name: carlosaniph
-----------------------------------------------------------------------
***********
This message is intended only for the named recipient and may contain confidential, proprietary or legally privileged information. No confidentiality or privilege is waived or lost by any misdirected transmission. If you received this message in error, please notify us immediately by telephone at +63495010127 and immediately delete this message from your system. If you are not the intended recipient, you must not use, disclose, distribute or copy any part of this message. Thank you.
***********
BANKS WILL need to set aside at least 25% of their total funds for
lending to farmers, fisherfolk and agrarian reform beneficiaries
beginning next month after the government issued the implementing
guidelines of the Agri-Agra Reform Credit Act yesterday.
The rules state that banks should allocate at least 25% of their total
loanable funds to the agriculture sector, of which 10% should go to
agrarian reform beneficiaries.
"Excess compliance in the 10% agrarian reform credit may be used to
offset a deficiency, if any, in the 15% other agricultural credit in
general, but not vice versa," the rules read.
The implementing rules and regulations (IRR) drafted by the Bangko
Sentral ng Pilipinas (BSP), the Department of Agriculture (DA) and the
Department of Agrarian Reform (DAR) will take effect 15 days after its
publication yesterday.
Republic Act (RA) 10000 or the Agri-Agra Reform Credit Act of 2009,
approved by then Pres. Gloria Macapagal-Arroyo on February 23, 2010,
amended Presidential Decree 717 signed by then President Ferdinand E.
Marcos on May 29, 1975.
The rules also state the BSP, in consultation with the DA and the DAR,
will prepare the guidelines on the computation of total loanable funds
and how banks can comply with the law on a consolidated or group-wide basis.
BSP Deputy Governor Nestor A. Espenilla, Jr. said in a text message
yesterday the circulars covering the computation of total loanable funds
and banks' consolidated compliance will be released "by Friday."
The rules state that banks can directly comply with the requirements of
RA 10000 through the actual extension of loans to qualifed borrowers or
the purchase of eligible loans on a "without recourse" basis from other
banks.
Alternative modes of compliance are also available:
• investment in bonds issued by the Development Bank of the Philippines
and the Land Bank of the Philippines that have been declared eligible by
the DA, the proceeds of which should be used for lending to the
agriculture and agrarian reform sectors;
• investment in other debt securities that have been declared eligible
by the DA or any agency authorized by the DA;
• subscription to shares of stock in accredited rural financial
institutions (preferred shares only), the Quedan and Rural Credit
Guarantee Corp. or the Philippine Crop Insurance Corp.
• investment in the special deposit accounts of rural financial
institutions that are accredited by the BSP;
• wholesale lending to accredited rural financial institutions;
• rediscounting by universal and commercial banks of agriculture and
agrarian reform credits;
• extension of loans for the construction and upgrade of infrastructure,
including farm-to-market roads and post harvest facilities; and
• grant of loans to warehouses or millers or wholesalers accredited by
the National Food Authority.
Banks that fail to comply with the requirements of the law will have to
pay a penalty equivalent to 0.5% of their non-compliance or
under-compliance, which will be computed on a quarterly basis.
"This is something we have to live with because it is the law," Chamber
of Thrift Banks Executive Director Suzanne I. Felix said in a text
message yesterday.
To be fair to the BSP, she said, banks were consulted in the preparation
of the IRR.
For his part, Banco de Oro Unibank Inc. President Nestor V. Tan said it
would be difficult to meet the required lending to the agriculture and
agrarian reform sectors.
"It is not for lack of trying. I don't think the loan demand from this
sector is big enough to accommodate 25% of the industry's loanable
funds," he said. -- Louella D. Desiderio
--
---------------------------------------------
CARLOS ANI - SEEDFINANCE Corporation - http://www.seedfinance.net
Email: carlosani@seedfinance.net
Landline Phones: +63495010127 and +63495762924
Cellphone: +639152919580
DEVJOBS - http://www.devjobsmail.com
PHILDEVFINANCE - http://phildevfinance.posterous.com
CONSULTING - http://www.carlosani.com
My News Clippings - http://www.myclipps.posterous.com
Family website: http://www.anifamily.net
------------------------------------------
--
------------------------------------------------------------------------
CARLOS ANI - International Microfinance Consultant - SEEDFINANCE Corporation Chairman
Mailing address: PO Box 90 UPLB Los Banos Laguna, Philippines 4031
Emails: carlosani@gmail.com , carlosani@seedfinance.net
Landline Phone: +63495010127 (PLDT)
Cellphone Numbers: +639152919580 (Globe) and +639328590859 (Sun)
Websites:
CARLOSANI.COM - http://www.carlosani.com
DEVJOBS - http://www.devjobsmail.com
PHILDEVFINANCE - http://phildevfinance.posterous.com
My News Clippings - http://www.myclipps.posterous.com
Family website - http://www.anifamily.net
SEEDFINANCE Corporation - http://www.seedfinance.net
Skype name: carlosaniph
-----------------------------------------------------------------------
***********
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BSP Anticipates Growing Bank Transactions
BSP Anticipates Growing Bank Transactions
Reorganizes PSO
By LEE C. CHIPONGIAN
May 13, 2012, 4:34pm
MANILA, Philippines - The Bangko Sentral ng Pilipinas is reorganizing the Payments and Settlements Office (PSO), the overseer of the Philippine Payment and Settlements System (PhilPass), in anticipation of the huge volume of bank transactions using its services.
A report from the BSP said that PSO will be reorganized in anticipation of the volume growing in the next few years and as more and more banks are tapping this payments and settlement services unit for their transactions.
The restructuring is expected to improve its efficiency and reliability as the financial sector’s wholesale payments system.
The changes are mostly primarily structural changes such as staffing and the reshuffling of departments as well the removal of non-functioning units within the PSO.
The reorganization will also involve the addition of settlement monitoring desks to address the increasing traffic of PhilPaSS transactions and the regular back-up testing of the site for uninterrupted services.
The BSP is also developing new payments products and systems as they cope with the changing requirements of PhilPaSS clients.
“PhilPass is becoming more crucial to the (financial) sector,” said BSP Deputy Governor Nestor A. Espenilla Jr. “In the overall scheme of things, the role of PhilPass is that it is the collector of the BSP, the government and all of the banks.”
Trillions of pesos pass through the system every year. In 2011, PhilPaSS transactions increased 23 percent to 1.2 million valued at P312.6 trillion. This amount is 51.3 percent higher than end 2010’s P206.6 trillion.
Espenilla said monitoring and regulating PhilPass transactions is one of the most important duties of the BSP.
“The central bank is the depository bank of the government … and all the banks use the BSP as a depository so the value of PhilPass is important. For example, if somebody wants to transfer money from the government to a bank, or a bank to another bank, the most efficient way to do that is through PhilPass,” stressed Espenilla.
At present, the PSO through PhilPaSS maintains and controls the demand deposit accounts of the local banks and monitors the receipt and settlement of interbank fund transfer instructions involving interbank lending/borrowing, automated teller machine network funds, purchase and sale of government securities through the Bureau of the Treasury’s own real-time system, among others.
The PSO also monitors and implements policies to manage risks to PhilPaSS such as banks’ intraday liquidity facility and overnight clearing line.
The BSP has been encouraging more financial entities under its supervision to participate in PhilPaSS. It wants to expand the usability of PhilPaSS as a payments facility that is faster and efficient to benefit all banking institutions.
From only 237 daily average transactions worth P100 billion in 2002 when PhilPaSS was opened, the system now settles an average of 4,50
-- ------------------------------------------------------------------------ CARLOS ANI - International Microfinance Consultant - SEEDFINANCE Corporation Chairman Mailing address: PO Box 90 UPLB Los Banos Laguna, Philippines 4031 Emails: carlosani@gmail.com , carlosani@seedfinance.net Landline Phone: +63495010127 (PLDT) Cellphone Numbers: +639152919580 (Globe) and +639328590859 (Sun) Websites: CARLOSANI.COM - http://www.carlosani.com DEVJOBS - http://www.devjobsmail.com PHILDEVFINANCE - http://phildevfinance.posterous.com My News Clippings - http://www.myclipps.posterous.com Family website - http://www.anifamily.net SEEDFINANCE Corporation - http://www.seedfinance.net Skype name: carlosaniph ----------------------------------------------------------------------- *********** This message is intended only for the named recipient and may contain confidential, proprietary or legally privileged information. No confidentiality or privilege is waived or lost by any misdirected transmission. If you received this message in error, please notify us immediately by telephone at +63495010127 and immediately delete this message from your system. If you are not the intended recipient, you must not use, disclose, distribute or copy any part of this message. Thank you. ***********
LBP Agri Loans Reach P285.5B
LBP Agri Loans Reach P285.5B
Adopts Sme Risk Mitigating Measures
By BERNIE CAHILES-MAGKILAT
May 13, 2012, 4:31pm
MANILA, Philippines - State-owned Land Bank of the Philippines (LBP) continued to adopt measures to mitigate risks of lending to small farmers and fisherfolk as loan disbursements to this sector reached P285.5 billion from 1991 to 2010.
Landbank president and CEO Gilda E. Pico said the bank has strengthened the implementation of mitigating controls for lending to small farmers and fisherfolk who in most cases do not have hard collaterals to offer.
One measure is the enhancement of the Bank’s Cooperative Accreditation Criteria and the Countryside Financial Institution (CFI) Risk Assets Acceptance Criteria which are used in assessing the cooperative and CFI’s eligibility to access the Bank’s credit facilities and other services. The asset acceptance criteria serve as Landbank’s ultimate measure of risk acceptance for all its credit programs.
Landbank has also adopted the use of the Enterprise-based Approach in extending credit and other services. And as part of its credit enhancements, Landbank uses the PCIC Insurance Coverage, the Guarantee coverage of the Agricultural Guarantee Fund Pool (AGFP), the Credit Surety Fund (CSF) and other guarantee funds.
Furthermore, Landbank encourages purchase order or confirmed market tie-up between producers or cooperatives and reliable buyers or processors through the signing of the Production Technical and Marketing Agreements (PTMA). This tie-up is done through the signing of Production Technical and Marketing Agreement (PTMA) of both parties specifying the roles of the partners and embodies the collection mechanism of cooperative’s loans extended by Landbank.
In 2010, Landbank reported written-off accounts amounting to P471.19 million for loan releases to cooperatives and CFIs.
Pico explained that the said written-off accounts were not incurred in 2010 alone but over a period of 19 years, representing 0.17 percent of the Bank’s total loan disbursements during the period.
“We undertake several remedial measures before proposing loans for write off. We only propose a loan for write off when all efforts have been exerted to collect or recover payment from the borrower but to no avail,” Pico said.
The bank president underscored that Landbank remains committed to its support to the farmers and fisherfolk sector, while striking a balance in strengthening its viability as a premier government financial institution.
-- ------------------------------------------------------------------------ CARLOS ANI - International Microfinance Consultant - SEEDFINANCE Corporation Chairman Mailing address: PO Box 90 UPLB Los Banos Laguna, Philippines 4031 Emails: carlosani@gmail.com , carlosani@seedfinance.net Landline Phone: +63495010127 (PLDT) Cellphone Numbers: +639152919580 (Globe) and +639328590859 (Sun) Websites: CARLOSANI.COM - http://www.carlosani.com DEVJOBS - http://www.devjobsmail.com PHILDEVFINANCE - http://phildevfinance.posterous.com My News Clippings - http://www.myclipps.posterous.com Family website - http://www.anifamily.net SEEDFINANCE Corporation - http://www.seedfinance.net Skype name: carlosaniph ----------------------------------------------------------------------- *********** This message is intended only for the named recipient and may contain confidential, proprietary or legally privileged information. No confidentiality or privilege is waived or lost by any misdirected transmission. If you received this message in error, please notify us immediately by telephone at +63495010127 and immediately delete this message from your system. If you are not the intended recipient, you must not use, disclose, distribute or copy any part of this message. Thank you. ***********
Philippines shields the poor amid income gap
Philippines shields the poor amid income gap
Feature
She earns about $100 a month washing clothes and her husband used to
bring in about $70 a month driving a motorcycle taxi until he went blind.
But things are better than they used to be.
Through a program in the Philippines called Pantawid Pamilya (Family
Subsistence), 3 million poor households like Ms. Capco's get small
grants from the government if they keep their children in school and
take them regularly to health centers.
"It's really a big help because now we don't have a problem about
whether we can have food to eat or if the kids have money to go to
school," Ms. Capco, 43, said with her two-year-old daughter Rihanna on
her lap.
A high school graduate with gleaming eyes and a ready smile, Ms. Capco
has been in the ramshackle community for 18 years.
With a quarter of its people below the poverty line as the population
crests 100 million, the Philippines points to the need for developing
Asia to reverse worsening inequality and broaden the benefits of the
region's tremendous economic growth.
Conditional Cash Transfer schemes like Pantawid Pamilya -- so-named for
conditions imposed to qualify for benefits -- were pioneered in Brazil
and Mexico and have proven very effective in giving immediate help to
the poor and breaking vicious cycles of poverty by improving health,
education and opportunities.
Narrowing the wealth gap has become as pressing as poverty alleviation,
making it a key theme of this week's annual meeting of the Asian
Development Bank (ADB) in Manila with government officials, bankers and
civil society groups from 67 countries.
Inequality is rising in 11 countries making up 82% of Asia's population,
the ADB says. That list includes China, India and Indonesia -- three
huge economies driving much of the growth.
"Relative to other regions, the recent period of growth in Asia has been
both less inclusive and less pro-poor," the International Monetary Fund
said in a report.
For Rajat Nag, ADB's managing director-general, growing inequality
"threatens to undermine the region's stability."
Governments in Asia have the resources to promote inclusive growth, he
said in mid-April, and they should adopt more targeted social spending.
That means rolling back poorly focused schemes like the fuel subsidies
in Indonesia that the government finds costly but politically difficult
to kill.
"Countries have often felt that they first need to grow and they need to
grow fast," Mr. Nag said.
"But a principle of rising tides will lift all boats makes an assumption
that no boat has a hole in the hull."
Conditional Cash Transfer schemes in the Philippines and Indonesia --
and more limited ones in Bangladesh, Pakistan and Cambodia -- are seen
as one of the best ways to target spending.
Pantawid Pamilya, piloted in 2007, is now the largest social protection
scheme in the Philippines. Monthly grants of up to P1,400 go to the
mother, as experience shows women tend to spend the money on food,
medicine and school supplies.
"From the beginning, the program was very well designed," said Nazmul
Chaudhury, the World Bank's point person for Pantawid Pamilya. "In terms
of sophistication of an integrated program, the rigor of the poverty
targeting database and potential for this as a larger social safety net,
there's nothing like that in the region."
The benefits are clear to Ms. Capco, who plans to set up a small stall
selling snacks.
"My hope is for all my kids to finish college," she said. -- Reuters
--
------------------------------------------------------------------------
CARLOS ANI - International Microfinance Consultant - SEEDFINANCE Corporation Chairman
Mailing address: PO Box 90 UPLB Los Banos Laguna, Philippines 4031
Emails: carlosani@gmail.com , carlosani@seedfinance.net
Landline Phone: +63495010127 (PLDT)
Cellphone Numbers: +639152919580 (Globe) and +639328590859 (Sun)
Websites:
CARLOSANI.COM - http://www.carlosani.com
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PHILDEVFINANCE - http://phildevfinance.posterous.com
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Family website - http://www.anifamily.net
SEEDFINANCE Corporation - http://www.seedfinance.net
Skype name: carlosaniph
-----------------------------------------------------------------------
***********
This message is intended only for the named recipient and may contain confidential, proprietary or legally privileged information. No confidentiality or privilege is waived or lost by any misdirected transmission. If you received this message in error, please notify us immediately by telephone at +63495010127 and immediately delete this message from your system. If you are not the intended recipient, you must not use, disclose, distribute or copy any part of this message. Thank you.
***********
Feature
She earns about $100 a month washing clothes and her husband used to
bring in about $70 a month driving a motorcycle taxi until he went blind.
But things are better than they used to be.
Through a program in the Philippines called Pantawid Pamilya (Family
Subsistence), 3 million poor households like Ms. Capco's get small
grants from the government if they keep their children in school and
take them regularly to health centers.
"It's really a big help because now we don't have a problem about
whether we can have food to eat or if the kids have money to go to
school," Ms. Capco, 43, said with her two-year-old daughter Rihanna on
her lap.
A high school graduate with gleaming eyes and a ready smile, Ms. Capco
has been in the ramshackle community for 18 years.
With a quarter of its people below the poverty line as the population
crests 100 million, the Philippines points to the need for developing
Asia to reverse worsening inequality and broaden the benefits of the
region's tremendous economic growth.
Conditional Cash Transfer schemes like Pantawid Pamilya -- so-named for
conditions imposed to qualify for benefits -- were pioneered in Brazil
and Mexico and have proven very effective in giving immediate help to
the poor and breaking vicious cycles of poverty by improving health,
education and opportunities.
Narrowing the wealth gap has become as pressing as poverty alleviation,
making it a key theme of this week's annual meeting of the Asian
Development Bank (ADB) in Manila with government officials, bankers and
civil society groups from 67 countries.
Inequality is rising in 11 countries making up 82% of Asia's population,
the ADB says. That list includes China, India and Indonesia -- three
huge economies driving much of the growth.
"Relative to other regions, the recent period of growth in Asia has been
both less inclusive and less pro-poor," the International Monetary Fund
said in a report.
For Rajat Nag, ADB's managing director-general, growing inequality
"threatens to undermine the region's stability."
Governments in Asia have the resources to promote inclusive growth, he
said in mid-April, and they should adopt more targeted social spending.
That means rolling back poorly focused schemes like the fuel subsidies
in Indonesia that the government finds costly but politically difficult
to kill.
"Countries have often felt that they first need to grow and they need to
grow fast," Mr. Nag said.
"But a principle of rising tides will lift all boats makes an assumption
that no boat has a hole in the hull."
Conditional Cash Transfer schemes in the Philippines and Indonesia --
and more limited ones in Bangladesh, Pakistan and Cambodia -- are seen
as one of the best ways to target spending.
Pantawid Pamilya, piloted in 2007, is now the largest social protection
scheme in the Philippines. Monthly grants of up to P1,400 go to the
mother, as experience shows women tend to spend the money on food,
medicine and school supplies.
"From the beginning, the program was very well designed," said Nazmul
Chaudhury, the World Bank's point person for Pantawid Pamilya. "In terms
of sophistication of an integrated program, the rigor of the poverty
targeting database and potential for this as a larger social safety net,
there's nothing like that in the region."
The benefits are clear to Ms. Capco, who plans to set up a small stall
selling snacks.
"My hope is for all my kids to finish college," she said. -- Reuters
--
------------------------------------------------------------------------
CARLOS ANI - International Microfinance Consultant - SEEDFINANCE Corporation Chairman
Mailing address: PO Box 90 UPLB Los Banos Laguna, Philippines 4031
Emails: carlosani@gmail.com , carlosani@seedfinance.net
Landline Phone: +63495010127 (PLDT)
Cellphone Numbers: +639152919580 (Globe) and +639328590859 (Sun)
Websites:
CARLOSANI.COM - http://www.carlosani.com
DEVJOBS - http://www.devjobsmail.com
PHILDEVFINANCE - http://phildevfinance.posterous.com
My News Clippings - http://www.myclipps.posterous.com
Family website - http://www.anifamily.net
SEEDFINANCE Corporation - http://www.seedfinance.net
Skype name: carlosaniph
-----------------------------------------------------------------------
***********
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***********
Rizal Microbank eyes more loans, offices
Rizal Microbank eyes more loans, offices
RIZAL MICROBANK, the microfinance arm of Yuchengco-led Rizal Commercial
Banking Corp. (RCBC), seeks to expand its loan portfolio by more than
half this year and has rolled out a plan to strengthen its operations in
Luzon and Mindanao.
"We want to grow our loan disbursements to P400 million by end-2012,"
said John G. Deveras, Rizal Microbank vice- chairman, in a phone
interview last Tuesday.
He added the bank will open new branches and micro-banking offices (MBO)
in Luzon and Mindanao to extend its reach.
Rizal Microbank, the result of the merger between Pres. Jose P. Laurel
Rural Bank, Inc. and Rizal Microbank (formerly the Merchants Savings &
Loan Association, Inc.), has 10 branches in southern Luzon and eight
branches in southern Mindanao at present. The merger was approved by the
central bank in March.
In Luzon, Rizal Microbank will establish a branch in Lipa, Batangas and
Puerto Princesa City, and one MBO each in Malvar, Batangas; San Juan,
Batangas; and Cabuyao, Laguna.
In Mindanao, it will set up a branch each in General Santos City;
Valencia City, Bukidnon; and Butuan City; and two MBOs in Davao City.
JP Laurel Rural Bank and Rizal Microbank disbursed a total of P260
million in loans last year, falling short of their P300 million combined
target.
Loans averaged P50,000, carried a 2% interest rate and had tenors of
three to six months.
"We don't favor any industry in lending. We lend to anyone who is a good
business person. Our clients usually use the money for their working
capital," Mr. Deveras said.
Asked if Rizal Microbank plans to expand to Visayas, he said in a text
message yesterday: "We are not yet ready to manage offices in Visayas
and there's still lots of room for growth in Mindanao and southern Luzon."
He also pointed out the thrift bank has "more than enough capital" to
build new branches, which usually cost around P2 million each, and put
up MBOs, which cost around P500,000 each.
RCBC has infused Rizal Microbank with P500 million in additional capital
to support its operations this year and the next year as it is not
expected to turn in a profit until 2014.
Mr. Deveras also said the bank will be "aggressive" in hiring lending
officers or microfinance account officers but did not say the number the
bank will employ.
Microfinance account officers are in charge of marketing the bank's
microfinance products and conducting intensive credit investigation or
background checks to establish a client's character and capacity to pay.
RCBC ventured into microfinance in July 2009 after buying J. P. Laurel
Bank based in Batangas in February 2009 and Rizal Microbank, which had
branches in southern Mindanao, in May 2008. -- A. R. R. Gregorio
--
------------------------------------------------------------------------
CARLOS ANI - International Microfinance Consultant - SEEDFINANCE Corporation Chairman
Mailing address: PO Box 90 UPLB Los Banos Laguna, Philippines 4031
Emails: carlosani@gmail.com , carlosani@seedfinance.net
Landline Phone: +63495010127 (PLDT)
Cellphone Numbers: +639152919580 (Globe) and +639328590859 (Sun)
Websites:
CARLOSANI.COM - http://www.carlosani.com
DEVJOBS - http://www.devjobsmail.com
PHILDEVFINANCE - http://phildevfinance.posterous.com
My News Clippings - http://www.myclipps.posterous.com
Family website - http://www.anifamily.net
SEEDFINANCE Corporation - http://www.seedfinance.net
Skype name: carlosaniph
-----------------------------------------------------------------------
***********
This message is intended only for the named recipient and may contain confidential, proprietary or legally privileged information. No confidentiality or privilege is waived or lost by any misdirected transmission. If you received this message in error, please notify us immediately by telephone at +63495010127 and immediately delete this message from your system. If you are not the intended recipient, you must not use, disclose, distribute or copy any part of this message. Thank you.
***********
RIZAL MICROBANK, the microfinance arm of Yuchengco-led Rizal Commercial
Banking Corp. (RCBC), seeks to expand its loan portfolio by more than
half this year and has rolled out a plan to strengthen its operations in
Luzon and Mindanao.
"We want to grow our loan disbursements to P400 million by end-2012,"
said John G. Deveras, Rizal Microbank vice- chairman, in a phone
interview last Tuesday.
He added the bank will open new branches and micro-banking offices (MBO)
in Luzon and Mindanao to extend its reach.
Rizal Microbank, the result of the merger between Pres. Jose P. Laurel
Rural Bank, Inc. and Rizal Microbank (formerly the Merchants Savings &
Loan Association, Inc.), has 10 branches in southern Luzon and eight
branches in southern Mindanao at present. The merger was approved by the
central bank in March.
In Luzon, Rizal Microbank will establish a branch in Lipa, Batangas and
Puerto Princesa City, and one MBO each in Malvar, Batangas; San Juan,
Batangas; and Cabuyao, Laguna.
In Mindanao, it will set up a branch each in General Santos City;
Valencia City, Bukidnon; and Butuan City; and two MBOs in Davao City.
JP Laurel Rural Bank and Rizal Microbank disbursed a total of P260
million in loans last year, falling short of their P300 million combined
target.
Loans averaged P50,000, carried a 2% interest rate and had tenors of
three to six months.
"We don't favor any industry in lending. We lend to anyone who is a good
business person. Our clients usually use the money for their working
capital," Mr. Deveras said.
Asked if Rizal Microbank plans to expand to Visayas, he said in a text
message yesterday: "We are not yet ready to manage offices in Visayas
and there's still lots of room for growth in Mindanao and southern Luzon."
He also pointed out the thrift bank has "more than enough capital" to
build new branches, which usually cost around P2 million each, and put
up MBOs, which cost around P500,000 each.
RCBC has infused Rizal Microbank with P500 million in additional capital
to support its operations this year and the next year as it is not
expected to turn in a profit until 2014.
Mr. Deveras also said the bank will be "aggressive" in hiring lending
officers or microfinance account officers but did not say the number the
bank will employ.
Microfinance account officers are in charge of marketing the bank's
microfinance products and conducting intensive credit investigation or
background checks to establish a client's character and capacity to pay.
RCBC ventured into microfinance in July 2009 after buying J. P. Laurel
Bank based in Batangas in February 2009 and Rizal Microbank, which had
branches in southern Mindanao, in May 2008. -- A. R. R. Gregorio
--
------------------------------------------------------------------------
CARLOS ANI - International Microfinance Consultant - SEEDFINANCE Corporation Chairman
Mailing address: PO Box 90 UPLB Los Banos Laguna, Philippines 4031
Emails: carlosani@gmail.com , carlosani@seedfinance.net
Landline Phone: +63495010127 (PLDT)
Cellphone Numbers: +639152919580 (Globe) and +639328590859 (Sun)
Websites:
CARLOSANI.COM - http://www.carlosani.com
DEVJOBS - http://www.devjobsmail.com
PHILDEVFINANCE - http://phildevfinance.posterous.com
My News Clippings - http://www.myclipps.posterous.com
Family website - http://www.anifamily.net
SEEDFINANCE Corporation - http://www.seedfinance.net
Skype name: carlosaniph
-----------------------------------------------------------------------
***********
This message is intended only for the named recipient and may contain confidential, proprietary or legally privileged information. No confidentiality or privilege is waived or lost by any misdirected transmission. If you received this message in error, please notify us immediately by telephone at +63495010127 and immediately delete this message from your system. If you are not the intended recipient, you must not use, disclose, distribute or copy any part of this message. Thank you.
***********
Regulating body for HMOs sought
Regulating body for HMOs sought
By Paolo Romero (The Philippine Star) Updated May 07, 2012 12:00 AM
Comments (0)
MANILA, Philippines - A lawmaker has called for the creation of a
government body to regulate dozens of health maintenance organizations
(HMOs).
In House Bill 6025, Quezon City Rep. Winston Castelo proposes the
creation of the independent Health Management Organizations Regulatory
Commission to exercise control, supervision, and authority over HMOs
nationwide.
Castelo said except for a "clearance to operate" issued by the
Department of Health, HMOs have been largely unregulated.
"There must be a regulatory commission to take charge of the
multifaceted problems that now plague this industry as the ones that
serve as medical services providers in the broad sense of the term," he
said.
Castelo said the proposed regulatory commission could address
cardholders' "many humiliating experiences," which have been largely the
result of the lack of regulatory mechanism for HMOs.
The commission would initially assume the accreditation system that the
DOH exercises and adopt the rules and regulations on the supervision of
HMOs, he added.
Castelo said after two years of transition, the commission would evolve
as "independent in its overall administrative and operational functions
as the proper regulatory agency."
After the transition, the commission would issue new sets of supervisory
and regulatory guidelines to implement the measure, he added.
--
------------------------------------------------------------------------
CARLOS ANI - International Microfinance Consultant - SEEDFINANCE Corporation Chairman
Mailing address: PO Box 90 UPLB Los Banos Laguna, Philippines 4031
Emails: carlosani@gmail.com , carlosani@seedfinance.net
Landline Phone: +63495010127 (PLDT)
Cellphone Numbers: +639152919580 (Globe) and +639328590859 (Sun)
Websites:
CARLOSANI.COM - http://www.carlosani.com
DEVJOBS - http://www.devjobsmail.com
PHILDEVFINANCE - http://phildevfinance.posterous.com
My News Clippings - http://www.myclipps.posterous.com
Family website - http://www.anifamily.net
SEEDFINANCE Corporation - http://www.seedfinance.net
Skype name: carlosaniph
-----------------------------------------------------------------------
***********
This message is intended only for the named recipient and may contain confidential, proprietary or legally privileged information. No confidentiality or privilege is waived or lost by any misdirected transmission. If you received this message in error, please notify us immediately by telephone at +63495010127 and immediately delete this message from your system. If you are not the intended recipient, you must not use, disclose, distribute or copy any part of this message. Thank you.
***********
By Paolo Romero (The Philippine Star) Updated May 07, 2012 12:00 AM
Comments (0)
MANILA, Philippines - A lawmaker has called for the creation of a
government body to regulate dozens of health maintenance organizations
(HMOs).
In House Bill 6025, Quezon City Rep. Winston Castelo proposes the
creation of the independent Health Management Organizations Regulatory
Commission to exercise control, supervision, and authority over HMOs
nationwide.
Castelo said except for a "clearance to operate" issued by the
Department of Health, HMOs have been largely unregulated.
"There must be a regulatory commission to take charge of the
multifaceted problems that now plague this industry as the ones that
serve as medical services providers in the broad sense of the term," he
said.
Castelo said the proposed regulatory commission could address
cardholders' "many humiliating experiences," which have been largely the
result of the lack of regulatory mechanism for HMOs.
The commission would initially assume the accreditation system that the
DOH exercises and adopt the rules and regulations on the supervision of
HMOs, he added.
Castelo said after two years of transition, the commission would evolve
as "independent in its overall administrative and operational functions
as the proper regulatory agency."
After the transition, the commission would issue new sets of supervisory
and regulatory guidelines to implement the measure, he added.
--
------------------------------------------------------------------------
CARLOS ANI - International Microfinance Consultant - SEEDFINANCE Corporation Chairman
Mailing address: PO Box 90 UPLB Los Banos Laguna, Philippines 4031
Emails: carlosani@gmail.com , carlosani@seedfinance.net
Landline Phone: +63495010127 (PLDT)
Cellphone Numbers: +639152919580 (Globe) and +639328590859 (Sun)
Websites:
CARLOSANI.COM - http://www.carlosani.com
DEVJOBS - http://www.devjobsmail.com
PHILDEVFINANCE - http://phildevfinance.posterous.com
My News Clippings - http://www.myclipps.posterous.com
Family website - http://www.anifamily.net
SEEDFINANCE Corporation - http://www.seedfinance.net
Skype name: carlosaniph
-----------------------------------------------------------------------
***********
This message is intended only for the named recipient and may contain confidential, proprietary or legally privileged information. No confidentiality or privilege is waived or lost by any misdirected transmission. If you received this message in error, please notify us immediately by telephone at +63495010127 and immediately delete this message from your system. If you are not the intended recipient, you must not use, disclose, distribute or copy any part of this message. Thank you.
***********
Debt-driven inclusiveness
Debt-driven inclusiveness
By: Randy David
Philippine Daily Inquirer
2:56 am | Thursday, May 3rd, 2012
Waiting in line for my turn at a Landbank ATM in the UP campus the other
day, I started to fret at seeing the queue wasn't moving. Two women were
hogging the machine and serially withdrawing money. They shuffled what
looked like a deck of plastic cards while routinely consulting a small
notebook.
"Wow," I told the person next to me, hoping the card-shufflers would
overhear, "I've never seen anyone with so many bank accounts." Wryly,
she said, "It's the 30th, that's why. They're collectors." Only then did
I realize how terribly mired in debt our government workers are. I've
recently learned that as many as 80 percent of them have reached the
maximum (sagad na) they can take out, which means their monthly
take-home pay must not fall below P5,000. But, most likely, they have
also borrowed against this remaining amount, thus leaving their ATM
cards with the loan sharks.
Viewed from this frame, one can appreciate the significance of the
government's decision to release, ahead of time, the last tranche of the
staggered salary increase for the country's 1.5 million government
employees. It puts much-needed cash into the hands of families that are
not only without savings, but are so indebted that they must borrow for
their daily needs. This final increase raises the minimum pay (salary
grade 1) for government workers to P9,000, excluding allowances. This is
very low compared to what businessmen and professionals in our society
earn, and what government workers in prosperous countries are paid. But
it compares favorably with what workers in the private sector make.
Minimum wage by itself, however, is not a good gauge of the condition of
the working class. Increases in the price of food, utilities and
transportation can quickly wipe out any wage increase. This makes
inflation the biggest enemy of labor. More than legislated wage
increases, I prefer to see social redistribution take the form of
concrete improvements in the quality and accessibility of basic
education, health services and mass housing.
But there is another side to the situation of the poor that interests me
as a sociologist. And that is the effect of a consumerist culture on our
people's daily life. We pride ourselves in having one of the highest
mobile phone penetrations in the world. Indeed we like to think of
ourselves as the texting capital of the world, as if that were a measure
of development. But how much real productive use do we put this amazing
technology to? My guess is not much. Yet mobile phones are now regarded
as basic necessity. I've seen people scrimp on food just to buy phone
load. They feel miserable when they cannot text or call, as if all
worthy human interaction depended on the cell phone.
But the mobile phone is just the most visible emblem of our consumerist
way of life. The capital of modern consumerism is the shopping mall.
Whereas in developed countries, the growing popularity of Internet
shopping is putting big and fully-staffed stores out of business, the
opposite is taking place here. Our shopping malls are getting bigger,
and their reach has become so wide they have integrated small-town
grocery and sari-sari stores as their satellites. It is not surprising
that the growth of the mall economy has followed the same trajectory as
the instant prosperity created by overseas work. These malls would not
be where they are today without OFW remittances. And where the malls
are, the fast-food chains cannot be far behind. It is this
democratization of consumption that fosters the illusion of
inclusiveness in our otherwise highly stratified society.
One would think that a country that earns about $20 billion annually
from its overseas workers would be, sooner or later, well-positioned to
capitalize its own long-term growth. But we've been sending out workers
for nearly four decades now. The growth in income has not transformed
Filipino families into savers. It has only made them consume more. As
their incomes rise, so have their needs multiplied. Sadly, it is not
just their lifestyles that have changed, but also their moral intuitions
about what constitutes a worthwhile life. Nowadays few think twice about
leaving their young children behind in the hope of earning more abroad.
Much of the evidence for this sea change in our way of life is
anecdotal. One wishes someone like Daniel Kahneman, 2002 Nobel Prize
winner in the economic sciences, could do a study of how the intuitions
that currently shape Filipino lives defy everything presumed by the
"rational agent model"—maybe something along the lines of a psychology
of stupidity, to which all of us, regardless of social class or
education, are susceptible.
I have a neighbor in Bataan who has been bugging me for the longest time
to help him get a job in an ocean-going liner. He hasn't been jobless at
home, but he thinks he's not earning enough to support his growing
family. I managed to set him up for a job test with a crewing company
owned by an acquaintance. A high school graduate, this man is a fine
all-round carpenter, but twice he failed the oral interview in English.
From a local job that engaged him for a year, he had netted P20,000 in
savings. He put in a portion as down payment for a motorbike, but the
monthly amortization soon ate up all the money he had. After five
months, he had to return the bike, forfeiting every cent he had paid. He
has asked me again to endorse his application for an overseas job. I
strongly advised him to stay in a job which will not take him away so
long from his family. I don't think his case is unusual. Like many, he
suffers from an exaggerated view of the benefits of working abroad.
public.lives@gmail.com
--
------------------------------------------------------------------------
CARLOS ANI - International Microfinance Consultant - SEEDFINANCE Corporation Chairman
Mailing address: PO Box 90 UPLB Los Banos Laguna, Philippines 4031
Emails: carlosani@gmail.com , carlosani@seedfinance.net
Landline Phone: +63495010127 (PLDT)
Cellphone Numbers: +639152919580 (Globe) and +639328590859 (Sun)
Websites:
CARLOSANI.COM - http://www.carlosani.com
DEVJOBS - http://www.devjobsmail.com
PHILDEVFINANCE - http://phildevfinance.posterous.com
My News Clippings - http://www.myclipps.posterous.com
Family website - http://www.anifamily.net
SEEDFINANCE Corporation - http://www.seedfinance.net
Skype name: carlosaniph
-----------------------------------------------------------------------
***********
This message is intended only for the named recipient and may contain confidential, proprietary or legally privileged information. No confidentiality or privilege is waived or lost by any misdirected transmission. If you received this message in error, please notify us immediately by telephone at +63495010127 and immediately delete this message from your system. If you are not the intended recipient, you must not use, disclose, distribute or copy any part of this message. Thank you.
***********
By: Randy David
Philippine Daily Inquirer
2:56 am | Thursday, May 3rd, 2012
Waiting in line for my turn at a Landbank ATM in the UP campus the other
day, I started to fret at seeing the queue wasn't moving. Two women were
hogging the machine and serially withdrawing money. They shuffled what
looked like a deck of plastic cards while routinely consulting a small
notebook.
"Wow," I told the person next to me, hoping the card-shufflers would
overhear, "I've never seen anyone with so many bank accounts." Wryly,
she said, "It's the 30th, that's why. They're collectors." Only then did
I realize how terribly mired in debt our government workers are. I've
recently learned that as many as 80 percent of them have reached the
maximum (sagad na) they can take out, which means their monthly
take-home pay must not fall below P5,000. But, most likely, they have
also borrowed against this remaining amount, thus leaving their ATM
cards with the loan sharks.
Viewed from this frame, one can appreciate the significance of the
government's decision to release, ahead of time, the last tranche of the
staggered salary increase for the country's 1.5 million government
employees. It puts much-needed cash into the hands of families that are
not only without savings, but are so indebted that they must borrow for
their daily needs. This final increase raises the minimum pay (salary
grade 1) for government workers to P9,000, excluding allowances. This is
very low compared to what businessmen and professionals in our society
earn, and what government workers in prosperous countries are paid. But
it compares favorably with what workers in the private sector make.
Minimum wage by itself, however, is not a good gauge of the condition of
the working class. Increases in the price of food, utilities and
transportation can quickly wipe out any wage increase. This makes
inflation the biggest enemy of labor. More than legislated wage
increases, I prefer to see social redistribution take the form of
concrete improvements in the quality and accessibility of basic
education, health services and mass housing.
But there is another side to the situation of the poor that interests me
as a sociologist. And that is the effect of a consumerist culture on our
people's daily life. We pride ourselves in having one of the highest
mobile phone penetrations in the world. Indeed we like to think of
ourselves as the texting capital of the world, as if that were a measure
of development. But how much real productive use do we put this amazing
technology to? My guess is not much. Yet mobile phones are now regarded
as basic necessity. I've seen people scrimp on food just to buy phone
load. They feel miserable when they cannot text or call, as if all
worthy human interaction depended on the cell phone.
But the mobile phone is just the most visible emblem of our consumerist
way of life. The capital of modern consumerism is the shopping mall.
Whereas in developed countries, the growing popularity of Internet
shopping is putting big and fully-staffed stores out of business, the
opposite is taking place here. Our shopping malls are getting bigger,
and their reach has become so wide they have integrated small-town
grocery and sari-sari stores as their satellites. It is not surprising
that the growth of the mall economy has followed the same trajectory as
the instant prosperity created by overseas work. These malls would not
be where they are today without OFW remittances. And where the malls
are, the fast-food chains cannot be far behind. It is this
democratization of consumption that fosters the illusion of
inclusiveness in our otherwise highly stratified society.
One would think that a country that earns about $20 billion annually
from its overseas workers would be, sooner or later, well-positioned to
capitalize its own long-term growth. But we've been sending out workers
for nearly four decades now. The growth in income has not transformed
Filipino families into savers. It has only made them consume more. As
their incomes rise, so have their needs multiplied. Sadly, it is not
just their lifestyles that have changed, but also their moral intuitions
about what constitutes a worthwhile life. Nowadays few think twice about
leaving their young children behind in the hope of earning more abroad.
Much of the evidence for this sea change in our way of life is
anecdotal. One wishes someone like Daniel Kahneman, 2002 Nobel Prize
winner in the economic sciences, could do a study of how the intuitions
that currently shape Filipino lives defy everything presumed by the
"rational agent model"—maybe something along the lines of a psychology
of stupidity, to which all of us, regardless of social class or
education, are susceptible.
I have a neighbor in Bataan who has been bugging me for the longest time
to help him get a job in an ocean-going liner. He hasn't been jobless at
home, but he thinks he's not earning enough to support his growing
family. I managed to set him up for a job test with a crewing company
owned by an acquaintance. A high school graduate, this man is a fine
all-round carpenter, but twice he failed the oral interview in English.
From a local job that engaged him for a year, he had netted P20,000 in
savings. He put in a portion as down payment for a motorbike, but the
monthly amortization soon ate up all the money he had. After five
months, he had to return the bike, forfeiting every cent he had paid. He
has asked me again to endorse his application for an overseas job. I
strongly advised him to stay in a job which will not take him away so
long from his family. I don't think his case is unusual. Like many, he
suffers from an exaggerated view of the benefits of working abroad.
public.lives@gmail.com
--
------------------------------------------------------------------------
CARLOS ANI - International Microfinance Consultant - SEEDFINANCE Corporation Chairman
Mailing address: PO Box 90 UPLB Los Banos Laguna, Philippines 4031
Emails: carlosani@gmail.com , carlosani@seedfinance.net
Landline Phone: +63495010127 (PLDT)
Cellphone Numbers: +639152919580 (Globe) and +639328590859 (Sun)
Websites:
CARLOSANI.COM - http://www.carlosani.com
DEVJOBS - http://www.devjobsmail.com
PHILDEVFINANCE - http://phildevfinance.posterous.com
My News Clippings - http://www.myclipps.posterous.com
Family website - http://www.anifamily.net
SEEDFINANCE Corporation - http://www.seedfinance.net
Skype name: carlosaniph
-----------------------------------------------------------------------
***********
This message is intended only for the named recipient and may contain confidential, proprietary or legally privileged information. No confidentiality or privilege is waived or lost by any misdirected transmission. If you received this message in error, please notify us immediately by telephone at +63495010127 and immediately delete this message from your system. If you are not the intended recipient, you must not use, disclose, distribute or copy any part of this message. Thank you.
***********
Gov't Offers P4,000 Educational Loan
Gov't Offers P4,000 Educational Loan
By GENALYN D. KABILING
May 1, 2012, 8:22pm
MANILA, Philippines — Members of the Government Service Insurance System
(GSIS) and the Social Security System (SSS) can now borrow money from
the government so they or their children can complete college or get
vocational courses.
The P11.2-billion education assistance fund was among the benefits
announced by President Benigno S. Aquino III during the Labor Day
celebration yesterday in Malacañang.
"Today, qualified members no longer have to cling to five-six loans to
send their children to school. Filipino workers can now rely on a more
practical and more fair means to invest on their future," Aquino said in
Filipino in his speech at the Labor Day breakfast meeting with labor
leaders.
Budget Secretary Florencio Abad said the Educational Assistance Fund
Program (EAFP) will allow
200,000 SSS members and 1.4 million GSIS members to receive assistance
for four-year degree programs and technical/vocational courses.
Under the EAFP, Abad said P4.2 billion will go to GSIS members, while P7
billion will be allotted to the SSS.
Any GSIS member can borrow P4,000 at 6 percent interest payable over a
5-year period, while an SSS member with a monthly salary of P10,000 can
avail himself of as much as P120,000 in education assistance.
--
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CARLOS ANI - International Microfinance Consultant - SEEDFINANCE Corporation Chairman
Mailing address: PO Box 90 UPLB Los Banos Laguna, Philippines 4031
Emails: carlosani@gmail.com , carlosani@seedfinance.net
Landline Phone: +63495010127 (PLDT)
Cellphone Numbers: +639152919580 (Globe) and +639328590859 (Sun)
Websites:
CARLOSANI.COM - http://www.carlosani.com
DEVJOBS - http://www.devjobsmail.com
PHILDEVFINANCE - http://phildevfinance.posterous.com
My News Clippings - http://www.myclipps.posterous.com
Family website - http://www.anifamily.net
SEEDFINANCE Corporation - http://www.seedfinance.net
Skype name: carlosaniph
-----------------------------------------------------------------------
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By GENALYN D. KABILING
May 1, 2012, 8:22pm
MANILA, Philippines — Members of the Government Service Insurance System
(GSIS) and the Social Security System (SSS) can now borrow money from
the government so they or their children can complete college or get
vocational courses.
The P11.2-billion education assistance fund was among the benefits
announced by President Benigno S. Aquino III during the Labor Day
celebration yesterday in Malacañang.
"Today, qualified members no longer have to cling to five-six loans to
send their children to school. Filipino workers can now rely on a more
practical and more fair means to invest on their future," Aquino said in
Filipino in his speech at the Labor Day breakfast meeting with labor
leaders.
Budget Secretary Florencio Abad said the Educational Assistance Fund
Program (EAFP) will allow
200,000 SSS members and 1.4 million GSIS members to receive assistance
for four-year degree programs and technical/vocational courses.
Under the EAFP, Abad said P4.2 billion will go to GSIS members, while P7
billion will be allotted to the SSS.
Any GSIS member can borrow P4,000 at 6 percent interest payable over a
5-year period, while an SSS member with a monthly salary of P10,000 can
avail himself of as much as P120,000 in education assistance.
--
------------------------------------------------------------------------
CARLOS ANI - International Microfinance Consultant - SEEDFINANCE Corporation Chairman
Mailing address: PO Box 90 UPLB Los Banos Laguna, Philippines 4031
Emails: carlosani@gmail.com , carlosani@seedfinance.net
Landline Phone: +63495010127 (PLDT)
Cellphone Numbers: +639152919580 (Globe) and +639328590859 (Sun)
Websites:
CARLOSANI.COM - http://www.carlosani.com
DEVJOBS - http://www.devjobsmail.com
PHILDEVFINANCE - http://phildevfinance.posterous.com
My News Clippings - http://www.myclipps.posterous.com
Family website - http://www.anifamily.net
SEEDFINANCE Corporation - http://www.seedfinance.net
Skype name: carlosaniph
-----------------------------------------------------------------------
***********
This message is intended only for the named recipient and may contain confidential, proprietary or legally privileged information. No confidentiality or privilege is waived or lost by any misdirected transmission. If you received this message in error, please notify us immediately by telephone at +63495010127 and immediately delete this message from your system. If you are not the intended recipient, you must not use, disclose, distribute or copy any part of this message. Thank you.
***********
110 banks apply for micro offices
110 banks apply for micro offices
OVER 100 banks have applied to establish micro-banking offices (MBOs) in
areas where there were no banks or only a few banks, according to the
Bangko Sentral ng Pilipinas (BSP).
"As of end-2011, the BSP received applications from 110 banks covering
over 720 MBOs," Pia Bernadette Roman-Tayag, BSP head for financial
inclusion, said in an e-mail on Monday.
Almost all the applications were approved and only a few were denied,
she added, declining to cite specific figures.
The latest number of banks was an increase from the 97 that lodged
applications as of end-June last year.
Ms. Tayag said the banks' positive response to Circular 694 issued in
October 2010 gave the central bank hope that the hundreds of
municipalities still without banks up to now would finally get access to
financial services.
The BSP issued Circular 694 to allow banks to establish MBOs or
microfinance-oriented other banking offices (MFOs).
"Other banking offices" or OBOs are permitted to do only
non-transactional banking functions such as marketing, accepting of loan
applications or hosting of automated teller machines.
MBOs or MFOs, on the other hand, are allowed to do more such as such as
accept micro-deposits; service withdrawals; disburse micro-loans and
collect payments; market, sell and service microinsurance products;
receive and pay out remittances; and act as cash-in, cash-out agents of
electronic money transactions.
The circular was meant to encourage banks to expand -- paticularly to
unserved or underserved areas -- without shelling out the large sums
they usually do for branches.
"With the relatively lower cost to set up, MBOs provide an opportunity
for banks to set up offices in areas that may otherwise not be
immediately economically feasible to set up an office," Ms. Tayag explained.
"This therefore provides scope for banks to reach out to hard-to-reach
or even unbanked areas," she added.
Two municipalities -- one in Ilocos Sur and another in Maguindanao --
would get their first bank offices soon, thanks to MBOs that would be
set up there, she noted.
Ms. Tayag said most of the banks' applications were for MBOs or the
conversion of OBOs into MBOs. Some were for the retention of MBOs and
conversion of OBOs into extension offices
"[T]here are 65 municipalities in the country that are serviced only by
MBOs," she said.
"This is a significant first step to address the problem of lack of
financial access where around 600 of our country's 1,634 municipalities
have no banking offices."
Results of the BSP's first Consumer Finance Survey showed that eight out
of 10 households did not have a deposit account.
The data pointed out the need for the BSP to continue working towards a
more inclusive financial system by issuing policies and educating the
public. -- Kathleen A. Martin
--
------------------------------------------------------------------------
CARLOS ANI - International Microfinance Consultant - SEEDFINANCE Corporation Chairman
Mailing address: PO Box 90 UPLB Los Banos Laguna, Philippines 4031
Emails: carlosani@gmail.com , carlosani@seedfinance.net
Landline Phone: +63495010127 (PLDT)
Cellphone Numbers: +639152919580 (Globe) and +639328590859 (Sun)
Websites:
CARLOSANI.COM - http://www.carlosani.com
DEVJOBS - http://www.devjobsmail.com
PHILDEVFINANCE - http://phildevfinance.posterous.com
My News Clippings - http://www.myclipps.posterous.com
Family website - http://www.anifamily.net
SEEDFINANCE Corporation - http://www.seedfinance.net
Skype name: carlosaniph
-----------------------------------------------------------------------
***********
This message is intended only for the named recipient and may contain confidential, proprietary or legally privileged information. No confidentiality or privilege is waived or lost by any misdirected transmission. If you received this message in error, please notify us immediately by telephone at +63495010127 and immediately delete this message from your system. If you are not the intended recipient, you must not use, disclose, distribute or copy any part of this message. Thank you.
***********
OVER 100 banks have applied to establish micro-banking offices (MBOs) in
areas where there were no banks or only a few banks, according to the
Bangko Sentral ng Pilipinas (BSP).
"As of end-2011, the BSP received applications from 110 banks covering
over 720 MBOs," Pia Bernadette Roman-Tayag, BSP head for financial
inclusion, said in an e-mail on Monday.
Almost all the applications were approved and only a few were denied,
she added, declining to cite specific figures.
The latest number of banks was an increase from the 97 that lodged
applications as of end-June last year.
Ms. Tayag said the banks' positive response to Circular 694 issued in
October 2010 gave the central bank hope that the hundreds of
municipalities still without banks up to now would finally get access to
financial services.
The BSP issued Circular 694 to allow banks to establish MBOs or
microfinance-oriented other banking offices (MFOs).
"Other banking offices" or OBOs are permitted to do only
non-transactional banking functions such as marketing, accepting of loan
applications or hosting of automated teller machines.
MBOs or MFOs, on the other hand, are allowed to do more such as such as
accept micro-deposits; service withdrawals; disburse micro-loans and
collect payments; market, sell and service microinsurance products;
receive and pay out remittances; and act as cash-in, cash-out agents of
electronic money transactions.
The circular was meant to encourage banks to expand -- paticularly to
unserved or underserved areas -- without shelling out the large sums
they usually do for branches.
"With the relatively lower cost to set up, MBOs provide an opportunity
for banks to set up offices in areas that may otherwise not be
immediately economically feasible to set up an office," Ms. Tayag explained.
"This therefore provides scope for banks to reach out to hard-to-reach
or even unbanked areas," she added.
Two municipalities -- one in Ilocos Sur and another in Maguindanao --
would get their first bank offices soon, thanks to MBOs that would be
set up there, she noted.
Ms. Tayag said most of the banks' applications were for MBOs or the
conversion of OBOs into MBOs. Some were for the retention of MBOs and
conversion of OBOs into extension offices
"[T]here are 65 municipalities in the country that are serviced only by
MBOs," she said.
"This is a significant first step to address the problem of lack of
financial access where around 600 of our country's 1,634 municipalities
have no banking offices."
Results of the BSP's first Consumer Finance Survey showed that eight out
of 10 households did not have a deposit account.
The data pointed out the need for the BSP to continue working towards a
more inclusive financial system by issuing policies and educating the
public. -- Kathleen A. Martin
--
------------------------------------------------------------------------
CARLOS ANI - International Microfinance Consultant - SEEDFINANCE Corporation Chairman
Mailing address: PO Box 90 UPLB Los Banos Laguna, Philippines 4031
Emails: carlosani@gmail.com , carlosani@seedfinance.net
Landline Phone: +63495010127 (PLDT)
Cellphone Numbers: +639152919580 (Globe) and +639328590859 (Sun)
Websites:
CARLOSANI.COM - http://www.carlosani.com
DEVJOBS - http://www.devjobsmail.com
PHILDEVFINANCE - http://phildevfinance.posterous.com
My News Clippings - http://www.myclipps.posterous.com
Family website - http://www.anifamily.net
SEEDFINANCE Corporation - http://www.seedfinance.net
Skype name: carlosaniph
-----------------------------------------------------------------------
***********
This message is intended only for the named recipient and may contain confidential, proprietary or legally privileged information. No confidentiality or privilege is waived or lost by any misdirected transmission. If you received this message in error, please notify us immediately by telephone at +63495010127 and immediately delete this message from your system. If you are not the intended recipient, you must not use, disclose, distribute or copy any part of this message. Thank you.
***********
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