Manila: A resolution has been filed in the Senate seeking a temporary loan moratorium, penalty condonation, and flexible payment terms from government financial institutions to help ease the burden of Filipinos amid rising fuel prices. Senator Mark Villar announced on Thursday that he filed Senate Resolution No. 366, urging state-run lenders, including the Social Security System, Pag-IBIG Fund, Land Bank of the Philippines, Development Bank of the Philippines, and National Home Mortgage Finance Corporation, to provide immediate relief measures to borrowers.
According to Philippines News Agency, the resolution proposes a one- to three-month loan moratorium or grace period, suspension or extension of statutory contributions with possible penalty condonation, and additional measures such as loan restructuring, interest rate reduction, and expedited calamity or emergency loan approvals with built-in grace periods.
It also outlines safeguards to protect fund stability, including limiting eligibility to borrowers in good standing, prohibiting additional interest and penalties during the grace period, and automatically extending loan terms without extra cost to cover deferred or refunded amounts.
'Dapat nating bigyan ng agarang ginhawa ang ating mga kababayan. Ang pansamantalang suspensyon ng bayarin at pagtanggal ng penalties ay malaking tulong upang makabangon sila sa gitna ng krisis (We must provide immediate relief to our fellow Filipinos. The temporary suspension of payments and removal of penalties will greatly help them recover amid these conditions),' Villar said.
The lawmaker said the proposed measures draw from previous government responses, including the Bayanihan laws, which allowed financial institutions to grant grace periods without imposing additional interest.
He also cited existing initiatives such as the Government Service Insurance System's Balik Ginhawa program, which provides a modified loan moratorium through lump-sum refunds of amortizations while maintaining regular deductions and preserving fund viability.
Under the resolution, implementation would be coordinated with the Bangko Sentral ng Pilipinas and the Department of Finance, with oversight measures including mandatory reporting to Congress and the Commission on Audit.
The proposal also calls for coordination with the Department of Budget and Management for possible supplemental funding or guarantees, and adopts a voluntary or opt-in system to ensure assistance is targeted and does not strain institutional liquidity.
