MANILA, Philippines — Makati City Mayor Abigail “Abby” Binay has called for the automatic suspension of loan repayments in areas affected by calamities after consecutive typhoons hit the country.
In a statement on Tuesday, Binay said, “Granting automatic moratorium on government loan repayments in calamity-hit areas would provide much-needed respite to affected residents, especially farmers and fisherfolk whose sources of livelihood have been wiped out.”
She argued that a loan moratorium, a period when a borrower is not required to make repayments for a certain time, would help borrowers “avoid penalties and stabilize finances.”
Binay specifically urged the Department of Agriculture and loan-issuing state-owned corporations such as the Land Bank of the Philippines, the Development Bank of the Philippines, the Social Security System, the Government Service Insurance System, and the Pag-IBIG Fund to grant the moratorium.
“By giving them reprieve from their financial obligation, they can focus on the day-to-day needs of their families and rebuilding their homes,” she said.
The Makati City mayor, who is running for Senate in 2025, added that the loan moratorium could be extended to local government units to help them “recover from the impact of these calamities on the local economy and public services.”
Binay’s proposal comes after the recent string of typhoons to hit the Philippines.
NDRRMC: Over 1.8 million Pinoys impacted by Pepito, 2 earlier typhoons
As of 8 p.m. on Monday, Nov. 18, the National Disaster Risk Reduction and Management Council (NDRRMC) tallied 1,368,551 individuals affected by the combined effects of Typhoon Nika (International name: Toraji), Super Typhoon Ofel (Usagi) and Super Typhoon Pepito (Man-yi).
NDRRMC’s data also showed the three consecutive cyclones caused damage worth P8,640,199.46 in agriculture and P469,847,274.36 in infrastructure.