BSP approves rules on housing microfinance

MANILA, Philippines – The Bangko Sentral ng Pilipinas (BSP) has issued Circular 678 on Jan. 6, 2010, strengthening the expansion of housing microfinance among banks.
BSP Circular 678 expands the definition of microfinance by allowing qualified housing microfinance loans up to P150,000 for home improvement and up to P300,000 for lot acquisition and house construction. It likewise allows for housing microfinance loans to have longer terms than traditional microfinance loans.
As part of the justification for the new rules and regulations, the BSP circular states that “the provision of housing microfinance is also seen as a way to improve the living conditions of the enterprising poor and the low-income households which will contribute to better health, productivity and quality of life.”

Philippine Star – The Bangko Sentral ng Pilipinas (BSP) has issued Circular 678 on Jan. 6, 2010, strengthening the expansion of housing microfinance among banks.

BSP Circular 678 expands the definition of microfinance by allowing qualified housing microfinance loans up to P150,000 for home improvement and up to P300,000 for lot acquisition and house construction. It likewise allows for housing microfinance loans to have longer terms than traditional microfinance loans.

As part of the justification for the new rules and regulations, the BSP circular states that “the provision of housing microfinance is also seen as a way to improve the living conditions of the enterprising poor and the low-income households which will contribute to better health, productivity and quality of life.” Read the complete article on Philippine Star online.