philippine-flag-icon | Thursday, October 17, 2019 01:44:37 PM |

Mati LGU to offer P20M stimulus package for small businesses affected by pandemic

Make it Mati.


The City of Mati LGU is planning on offering a P20 million stimulus package for micro and small businesses in the city affected by the quarantine lockdown brought about by the Covid-19 pandemic.

Last week, Mayor Michelle Nakpil Rabat together with the created Technical Working Group held their meeting for the formulation of the Economic Recovery Plan for the City of Mati.

This is in line with the Executive Order No. 57 “Creating the Technical Working Group for the Formulation of the Economic Recovery Plan for the City of Mati”.

The aim of the TWG is to craft a recovery plan for economic resilience to improve the city’s economy to recover from shocks brought about by the COVID-19 pandemic.

The stimulus package aims to help the distressed businesses due to COVID-19 pandemic. Micro and small businesses will be allowed to borrow as much as P200,000 as startup capital without interest.

Mayor Michelle said this would help small businesses to venture into new line opportunities like food and other businesses.

Department of Trade and Industry said that micro businesses are those with an asset size equal to or less than P3 million and employing one to nine workers while small businesses are those with asset size of more than P3 million but less than P15 million and employing ten to ninety workers.

The Technical Working Group already formulated requirements and guidelines for the stimulus package but still needs to be approved.

Such guidelines like detailed business plan containing business profile, loan purposes, projected loan proceeds expenditure, expected ROI and possible ways of re-payments.

Banks will also be requested to formulate guidelines taking into account that the city government will serve as guarantor before signing the Memorandum of Agreement (MOA) with them.

It was also suggested during the meeting that the hotel and resorts must have an association for an easy access to opportunities, because now they were able to realize that they don’t need to compete but collaborate with one another. (CIO MATI)

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