This after a memorandum of agreement (MOA) was signed recently between SB Corp. and the National Market Vendors Confederation of Cooperatives (Namvesco), representing a group of 46 market vendor cooperatives nationwide.
Under the MOA, the vendor groups can avail of two types of loan facilities for their needs: one for working capital for micro financing and for developmental loans for asset acquisition and/or expansion, renovation and development.
The working capital loan program will make available a credit line of P10 million for the Namvesco members from which they can draw funding for their micro financing requirements.
A cooperative may borrow up to P2 million while sub-borrowers of these cooperatives may be granted up to P50,000 in loans each.
For the remaining P15 million in development loans, member cooperatives must apply for a loan through Namvesco which in turn would evaluate and endorse the loan application to SB Corp.
The amount of loans to be granted under this facility would depend on the type of enterprise, with the amount not exceeding P5 million per borrower.