Price freeze, no-interest loans
The state of national calamity has various legal effects.
These include imposition of an automatic price freeze in affected areas and “no interest” loans in government lending agencies. Additional funds will be granted for unforeseen expenditures. Hazard allowances will be released for public health workers.
Deputy presidential spokesperson Abigail Valte said these effects were spelled out in Rep. Act No. 10121 or Strengthening the Philippine Disaster Risk Reduction and Management System and other laws.
“For the finer print, we will have to wait for the proclamation,” she said.
President Aquino is expected to sign this upon his return to Manila.
“First, automatic appropriations under RA 7160 will be available for unforeseen expenditures arising from the occurrence of calamities in the areas. Second, local government units can enact supplemental budget for supplies and materials to prevent danger to or loss of lives,” Valte said.
Prices of basic goods in an area would be also be automatically frozen at prevailing prices, she said.
She said government financial and lending institutions will be authorized to extend “no interest loans” while hazard allowances will be granted to public health workers and science and technological personnel in government.
Valte said the government was assessing the cost of rehabilitation in storm-hit provinces.
“We are still looking where to source the funds for this,” she said. INQUIRER
