Binay reaffirms support to countryside home-lending through HGC Guaranty
VICE President and Housing and Urban Development Coordinating Council (HUDCC) chair Jejomar C. Binay reaffirms government support to rural banks and microfinance institutions nationwide in their housing loan activities, through the HGC guaranty.
VP Binay delivered the message in a ceremony, entitled “Mobilizing Funds for Countryside Housing Development” held at The Coconut Palace last Sept. 26. The ceremony highlighted the partnership between Home Guaranty Corp. (HGC) and 17 member banks of the Rural Bankers Association of the Philippines (RBAP) and one microfinance institution (MFI) to boost housing developments in the countryside. Binay, as HUDCC chair, also sits as vice chair of the HGC Board.
HGC president lawyer Manuel R. Sanchez, in his message stressed “the net effect of HGC partnership with RBAP and microfinance institutions is to give rural poor access to easy financing to buy their own homes. This allows the homeless to realize their dreams of homeownership.”
RBAP president Vittorio Z. Almario and Alalay sa Kaunlaran Inc. (ASKI) president Alicia G. Caliwag, echoed the same message in their respective speeches.
HGC—through its two latest programs, the Guaranty Program for Rural Banks and the Guaranty Program for Microfinance and Small Loans for Home Improvement—extends guaranty lines to these financial institutions. The HGC guarantees the payment of housing and home improvement loans extended by these institutions, thereby encouraging them to lend more for housing.
HGC’s first batch of RBAP-member partners are: 1st Macro Bank, AMA Rural Bank, Banco Alabang, Bank of Makati, Cantillan Bank, Inc., Lipa Rural Bank, Inc., Mount Carmel Rural Bank, Inc., Rang-ay Bank, Rural Bank of Cauayan, Rural Bank of Guinobatan, Rural Bank of Mabitac (Laguna), Inc., Rural Bank of Pagbilao, Rural Bank of Porac (Pampanga), Inc., Rural Bank of Rosario (La Union), Rural Bank of San Jose (Camarines Sur), Inc., Rural Bank of Tanza (Cavite), Inc., Zambales Rural Bank. Alalay sa Kaunlaran Inc. is HGC’s first microfinance institution partner.
“There are about 500 rural banks nationwide” Sanchez said, “and we intend to reach as many as we can.”