The amount of money set aside for agricultural and agrarian reform lending climbed by 21.36 percent at the end of September, but fell short of the amount required by law, according to figures released by the Bangko Sentral ng Pilipinas (BSP).
As of Sept. 30, 2021, the banking system has put aside P804.17 billion for the industry, up P141.55 billion from P662.62 billion a year before.
The combined allocation for agriculture and agrarian reform, at 10.73 percent of total loanable funds, was considerably below the 25 percent established under Republic Act 10000, or the “Agri-Agra Reform Credit Act of 2009.”
Farmers and agricultural reform grantees must each get 15% and 10% of banks’ total loan portfolios, respectively.
However, the actual percentages for farmers and agricultural reform grantees were just 9.81 percent and 0.92 percent, respectively.
With additional report: manilatimes
Image sources: philstar and tribune
