COVID 19 Pondo Para sa Pagbabago at Pag-Asenso Enterprise Rehabilitation Fund (P3-ERF)

The COVID 19 Pondo Para sa Pagbabago at Pag-Asenso Enterprise Rehabilitation Fund (P3-ERF) is a One Billion Peso (PhP1,000,000,000) special financing program by the Small Business Corporation of the Department of Trade in Industry (DTI) for MSMEs affected by COVID-19. This is part of the social amelioration programs (see list of Social Amelioration Programs) designed to mitigate the socio-economic impact of the Coronavirus Disease 2019 (COVID-19) health crisis during the Enhanced Community Quarantine (ECQ), pursuant to the Bayanihan to Heal as One Act (Republic Act No. 11469) and its Implementing Directives.  

The following are the salient features of COVID-19 P3-ERF, as stated in Joint Memorandum Circular No. 1

  • a) Loan amount of PhP 10,000.00 up to PhP 500,000.00 for small enterprises with asset size of not more than PhP 10,000,000.00; or, loan amount from PhP 10,000.00 up to PhP 200,000.00 for micro enterprises
  • b) Discounted 0.5% monthly interest rate 
  • c) Prolonged grace period until such time that the current crisis is abated

Eligibility – The loan is available to all micro and small enterprises with at least one year continuous operation prior to March 2020, and whose businesses suffered drastic reduction in sales during the ensuing epidemic. 

Loan conditions – The proceeds of the loan may be used only for the following purposes: 

  • a) Updating of loan amortizations for vehicle loans or other fixed asset loans of the affected business; 
  • b) Inventory replacement for damaged perishable stock; 
  • c) Working capital replacement to restart the business. 

Documentary Requirements – Claimants must submit: a) Barangay Clearance; and b) LGU certification of business establishment for at least one year. 

The loan facility shall be implemented, by the proper DTI Memorandum Circular, as soon as the Community Quarantine declarations are lifted by the National Government and/or respective Local Government Units. 

[See also: Social Amelioration Programs for the Community Quarantine by Reason of COVID-19; Emergency Subsidy Program (ESP) during the Community Quarantine); Target Beneficiaries of the Government Social Amelioration Program for COVID-19; Documentary Requirements to Avail of Government Social Amelioration Programs for COVID-19]

P&L Law

7 thoughts on “COVID 19 Pondo Para sa Pagbabago at Pag-Asenso Enterprise Rehabilitation Fund (P3-ERF)

    1. pnl

      Hi Annabel. The program covers Small Enterprises, which means that they have a capital of P3,000,001 – P15,000,000. Good luck.

  1. tommy mendoza

    1.)kasama ba mga small lending company?
    2.)may paupahan na commercial at residential.regstrd sa dti.

    Reply
  2. Che Ruaro Espiritu

    Is the loan facility implemented already? How can we avail of the loan and when? Kindly provide link/info for guidelines. My business is located in Timog, Quezon City. Thank you!

    Reply

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