By Nancy I. Mediavillo
LEGAZPI CITY, (PNA) – Local government units (LGUs) in Bicol registered an almost 100-percent loan repayment rate to the Land Bank of the Philippines, a top bank official said.
Gil Jose R. Sarte, LBP Naga Lending Center head, told the PNA in a phone interview Monday that this good loan repayment performance of Bicol LGUs qualifies any of them to seek another loan from the LBP.
Sarte said the bank imposes an interest rate of only 5.5 percent per annum.
He noted that during the first LBP Regional LGU Summit held recently in Oriental Hotel in Legazpi City, many LGU executives and their representatives attended to show their interest to avail themselves of the various services of the bank.
The summit aimed to strengthen the partnership between the LBP and the LGUs in the region.
It touched on the role of the Bangko Sentral ng Pilipinas and its monetary board, zeal of good housekeeping of an LGU from the Department of the Interior and Local Government and the role of the Bureau of Local Government Finance in determining the financial capacity of the LGUs.