The Land Bank of the Philippines is offering a new credit facility for coconut farmers to help increase the production of the crop and boost people’s income in coconut-producing communities nationwide.
LANDBANK’s Coconut Farmers and Industry Development (CFID) program, allows eligible coconut farmers, cooperatives and associations access financing for various projects, including the establishment of intercrops and poultry or livestock integration in coconut farms.
LANDBANK contributed P83.3 million or 25 percent of the P333.3 million fund while the credit component allocation under the Coconut Farmers Industry Trust Fund Act accounted for the other P250 million or 75 percent.
Under the lending program, short- and long-term loans of at least P1 million with a fixed interest rate of 2 percent per annum will run until 2071 to accommodate as many stakeholders from the coconut industry as possible.
The bank said individual coconut farmers may use the loan to boost production and working capital to acquire machines and equipment as well as establish necessary facilities. Coconut cooperatives and associations may utilize the financing for relending and rediscounting to their members.
“The CFID lending program forms part of the national government’s whole-of-nation approach towards providing meaningful investments to the coconut industry. LANDBANK remains committed to providing accessible and affordable credit to coconut farmers nationwide to help improve their livelihood,” said Cecilia Borromeo, LANDBANK president and chief executive officer, in a statement.
Borrowers may contact the bank’s lending centers or branches nationwide or through its customer service hotline.
According to data from the Philippine Statistics Authority, the country produced 14.93 million metric tons (MT) of coconut last year, a mere 1.43 percent increase from 2021’s 14.72 million MT.
