...the best microfinance environments

Editorial

Philippines Among Best Microfinance Environments

Manila Bulletin

February 20, 2013

 

The Philippines is a global leader in microfinance, having one of the best business environments for microenterprises. It ranked 4th out of 55 countries in the annual global survey “Global Microscope on the Microfinance Business Environment 2012,” released in 2012 by the London-based think-tank Economist Intelligence Unit (EIU). The Philippines posted a two-notch improvement from its 6th ranking in 2011. The report highlighted the country’s stable market and reforms initiated by public and private institutions to develop an enabling microfinance environment.

The EIU said the rankings recognized key efforts of the Bangko Sentral ng Pilipinas (BSP) such as raising the ceiling for “microfinance plus” that microenterprises and small businesses can avail of to fund their operations. Microfinance originally financed microenterprises or small livelihood activities but BSP expanded loan products to include microfinance housing, micro-agri loans, micro-insurance, and micro-deposits. There are 202 microfinance institutions operating in the Philippines.

In the 2nd quarter of 2012, the BSP, in Circular No. 748, eased its guidelines on microfinance lending to allow banks to disburse more funds in the countryside for agriculture and agrarian reform sectors.

The BSP, in Circular No. 782 on January 21, 2013, raised the threshold of microfinance clients to allow low-income clients access to credit such as housing microfinance. Low-income are those with income below P17,000 a month or P206,000 per year.

Microfinance is a way of providing financial services to entrepreneurs and small businesses lacking access to conventional banking. In the Republic of the Philippines, microfinancing is an activity dominated by rural banks, non-government and people organizations, with support from international donors. Rural and cooperative banks provide financial services to over 85 percent of cities and towns, under the Micro-enterprise Access to Banking Services of the Rural Bankers Association of the Philippines, supported by the United States Agency for International Development.

We congratulate the Bangko Sentral ng Pilipinas, headed by Governor Amando M. Tetangco Jr., in its efforts to promote microfinance as one of the powerful programs of the Philippine economy. CONGRATULATIONS AND MABUHAY!

 

...the future Economic Tiger

PH ‘A Future Economic Tiger’

 

By MIKE U. CRISMUNDO

August 4, 2012,

Manila Bulletin

 

 

BUTUAN CITY – An officer of the United States Agency for International Development (USAID) said the Philippines is on its way to becoming a future economic tiger – with credit up and investors confidence surging.

The USAID officer, however, said key players in the Philippine government, along with the business community, must work hard to bring positive results on many levels.

Before the country’s top business leaders and government officials attending the 21st Mindanao Business Conference (21st MinBizCon), USAID Philippine Mission Director Reed Aeschliman emphasized several key economic issues that policymakers and business chambers working together can help champion.

One, he said is the efficiency of Philippine ports.

The Philippines has almost doubled its port capacity in recent years, but several ports are underutilized.

“For instance, the Port of Zamboanga has an impressive container yard, yet its products are largely still exported to neighboring Malaysia through Manila,” said Aeschliman, who was the guest speaker at the 21st MinBizCon.

“Mindanao’s ports should serve as economic drivers, linking this region to the international trade system via marine transport,” he said.

The official also noted the rapid expansion of “Roll-On, Roll-Off (RORO) ports, which has already provided an efficient stimulus, as he encouraged the business leaders to strengthen and utilize these ports.

Another vital factor, he said, to completely become an economic tiger is Partnership for Growth (PFG).

US Secretary of State Hillary Rodham Clinton and Philippine Foreign Affairs Secretary Albert del Rosario recently initiated the US-Philippines Partnership for Growth, he said.

“Through the PFG, our governments jointly identified the most serious constraints to growth and are working together to help the Philippines achieve its goal of moving to a higher, sustained, and more inclusive growth trajectory in line with high-performing emerging economies,” he said.

The USAID official said the focus of this PFG is on regulatory quality, rule of law (including anti-corruption), fiscal transparency, and performance.

“The PFG seeks to boost trade and investment, and improve the overall competitiveness of the Philippines by lowering the cost of doing business, reducing red tape, easing barriers to market entry, facilitating trade, and improving other needs,” he said.

Cargo handlers, shipping agencies, and host city government officials and business chambers must join hands and frequently meet in an effort to tackle some vital concern to be more globally competitive, he added.

The officer also tackled the peace and security in Mindanao, which everybody must be involved in solving the problem.

The US government is fully supporting the peace and development effort of the administration, which is a key constraint to economic growth in the region, he said.

He said Mindanao has enormous human and natural potentials waiting to be tapped and developed.

“Together with the Philippines, the United States envisions a Mindanao that contributes significantly to improving the lives of its people – that is peaceful and a secure business hub, and that figures prominently among the country’s center of economic progress in a stronger and more prosperous Philippines,” the USAID officer said.

“We wish to see a vibrant partnership of government and the private sector in making Mindanao conducive to business,” he said, adding “We encourage business chambers to work constructively with government and pursue your role of advocacy to ensure that trade policy reforms conform with business developments in the economy – to create a healthy business climate where enterprises operate as catalysts to propel economy, generate employment, multiply the vast opportunities in Mindanao, and sustain inclusive economic growth.”

“We support President Aquino’s good governance not only a program goal, but also a prerequisite for partnership,” added Aeschliman.

The three-day 21st MinBizCon, which was hosted by the city government of Butuan, the provincial government of Agusan del Norte, Butuan Chamber and Philippine Chamber of Commerce and Industry ended yesterday at a convention center in Butuan City.

...the Philippine seafoods

Philippine seafood showcased at EU expo

 

by Raquel Bernal-Crisostomo

ABS-CBN Europe News Bureau

05/19/2011

 

BRUSSELS, Belgium - For the first time, the Philippines participated at the annual European Seafood Exposition (ESE), with 10 companies from the local seafood industry joining the trade fair.

Through the joint efforts of the Department of Agriculture, in cooperation with the USAID-Growth with Equity in Mindanao (GEM), the companies joined the fair which aimed to bring together seafood buyers and sellers around the world.

The 19th ESE provided seafood business professionals an opportunity to reach out to global retail, food service and wholesale companies.

Around 1,600 exhibitors from 72 countries participated in what is considered as the world’s biggest seafood fair.

The Philippine delegation - composed of Ayala Seafoods Corporation, Bluefin Seafood Export Incorporated, FAB Sea Resources Corporation, JN Mercado Food Supply, Jess Aquamarine Traders, Well Delight Network Corporation, Jarla Trading, MS Seafood Supplier, Nuevo Fresco and RDEX Food International Phils. Incorporated - believe that the exposition will help boost the Philippines’ seafood industry.

Leandro Gazmin, Director of the Department of Agriculture -Agribusiness and Marketing Services, said the event is an opportunity to showcase Mindanao’s best seafood products.

“Maganda yung expansion natin sa marine culture parts with regards to lapu-lapu, pangasius, bangus and tilapia. And malaki talaga yung magiging output natin ngayon so maganda nating matarget na market itong European market”, he said.

Based on the database of European Commission on Fisheries, the Philippines is the 4th biggest exporter of tuna to EU.

Canned sardines from the Philippines are also among the favorites in Asian food stores in Europe.

Low supply

Despite having a potential market in Europe, the Philippine delegation hope to develop a sustainable resource management schemes to assure continued stocks of marine products.

Lucie Morales of Bluefin Seafood Export Incorporated said that occasionally, supply of seafood products is low compared to the demand.

“Yung lendings of supply is very low compared to the demand which we do not know why maybe because of global warming. It’s a natural phenomenon which we cannot explain really but it’s not just in the Philippines. It’s in some neighbouring countries, there is a very low supply like in the past six months, we have low lendings which is unusual”, she said.

GEM-USAID however maintained that with the current support from the government, illegal or dynamite fishing would be put to an end.

Meanwhile, in a special dinner prepared by the Philippine embassy, Ambassador Enrique Manalo thanked the 10 companies, GEM-USAID and the Department of Agriculture and expressed confidence that the Philippine seafood will soon penetrate the EU mainstream.

“I’m very happy to note that the Philippines under the offices of Department of Agriculture and the support of USAID has decided for the first time to participate collectively in the ESE and by participating in ESE, the Philippines can now show that it is ready to establish itself as a reliable and world class supplier of fisheries products.”

..the AID

USAID donates 175 vaccine refrigerators to DoH

 
By Karen Boncocan
INQUIRER.net
05/02/2011

MANILA, Philippines—The health department on Monday received 175 vaccine refrigerators from the United States Agency for International Development (USAID), Health Secretary Enrique Ona said.

Ona said 23 of the refrigerators would be for use of public health facilities in the Autonomous Region in Muslim Mindanao. He expressed optimism that they would improve the immunization coverage in the impoverished ARMM.

Ona said many vaccine refrigerators in the provinces were badly damaged during typhoons Ondoy and Pepeng. The replacements, he said, would enable his department to maximize the potency of vaccines used in immunization programs.

The donation had been promised by US Secretary of State Hilary Clinton, said Ann Hirschey of the USAID.
The Department of Health has recorded 14 deaths from 5,186 cases of suspected measles nationwide from January 1 to April 16. Majority of the cases came from the National Capital Region followed by Central Luzon.

...the trained ex-OFW

Former OFW earns more while working in hometown

By JENNY F. MANONGDO

April 2, 2011

Manila Bulletn

MANILA, Philippines — A former overseas Filipino worker (OFW) who worked abroad for 14 years is now contributing largely to her community, earning twice more than what she earned in the past after establishing a modern birthing home under the assistance of the United States Agency for International Development (USAID).

Dolores Batchanicha is one of the five women who benefitted from USAID’s program targeting the enhancement of technical and business skills of public and private midwives in the country.

The five Filipino women who made a difference in their provinces through the improvement of pregnancy-related services in their provinces were honored by USAID recently during the celebration of the International Women’s Day.

Batchanicha practiced midwifery at a local hospital in Davao City before she worked in Saudi Arabia for another 14 years.

From 1989 to 2002, Batchanicha spent years helping mothers give birth at the Saudi Naval Base Hospital, where she received further training under British midwives.

But soon after her three children finished school, this 59-year-old mother wasted no time and came back home to reunite with her family.

Finding no fulfillment in running their family business, Batchanicha underwent a training program of the USAID in assisting women give birth.

She said she learned about the program through her colleagues in the Integrated Midwives’ Association of the Philippines.

Funded by the USAID, her birthing home was launched in early 2006 in General Santos City, and the Philippine Health Insurance Corporation (PhilHealth) has already accredited three beds in her facility.

“It’s hard being an OFW. It’s hard to live far from your family, so when I learned about the USAID program, I immediately joined it,” she said.

Batchanicha’s birthing clinic is one of only two clinics operating in Barangay Calumpang in General Santos City.

Like Batchanicha, Corazon Paras and Olive Vergara also sought to provide comfort and quality care to mothers who are giving birth to their babies through birthing homes.

Paras successfully established a home-like birthing clinic in her province in Bohol through the help of USAID.
“It is not like a hospital, but more like a home. It is a small place that can provide quality services,” she said, describing her PhilHealth-accredited birthing home.

Meanwhile, the USAID helped midwife and birthing home owner Olive Vergara of Pampanga to secure PhilHealth accreditation.

Her birthing home has been awarded by the PhilHealth over 625 accredited health providers during the 2010 PhilHealth awards for excellence in health services.

The absence of doctors in the past was one of the main reasons there were many cases of bleeding after delivery in the town of Lamitan in Basilan.

But things changed when Virgie Cadano joined the USAID program “Caring for Mothers and Newborns in the Community (CMNC).”

Cadano was trained to practice new techniques of near-delivery labor management including the administration of Oxytocin, a drug injected to prevent post-delivery bleeding.

Cadano was also able to convince local government executives to build a birthing center in the area.

“There is a big difference when we practice the techniques that we learned from USAID. We can see that there is less bleeding and after two days, the mothers are already able to do household chores like washing their clothes,” she said.

It was learned that there are now 18 midwives who are also learning the new techniques from USAID.
She said mothers in her hometown are now more open to hire the services of a midwife when giving birth.
“In the past, they prefer the ‘hilot’ (traditional birth attendants) because they feel ashamed when midwives see their private parts. But this has changed,” she said.