Baby Jesus Orbeta
The Land Transportation Franchising and Regulatory Board (LTFRB) will sit down with authorities financing establishments (GFIs) to help operators of modernized jeepney fleets who’re struggling to fulfill their mortgage obligations underneath the Public Transport Modernization Program (PTMP).
In an announcement on Monday, LTFRB Chair Teofilo Guadiz III mentioned there’s a want for a “collaborative method” among the many LTFRB, the Land Financial institution of the Philippines (Landbank) and the Improvement Financial institution of the Philippines (DBP), in addition to different financing establishments to ease the monetary burden on jeepney cooperatives and particular person operators who purchased modernized models underneath the PTMP.
“We acknowledge the monetary challenges confronted by lots of our modernized PUV operators. We’re looking for a dialogue with our accomplice GFIs to discover extra versatile mortgage phrases, grace durations, or attainable restructuring packages,” Guadiz mentioned.
Financing establishments, he added, ought to take into account a moratorium or recalibrated cost schemes, particularly for cooperatives complying with LTFRB requirements.
Penalties
“We can’t afford to let our operators default. If that occurs, public transport service can be disrupted, and your entire modernization initiative can be undermined,” he harassed.
The LTFRB is ready to coordinate with the Division of Transportation, Landbank and DBP to provoke “high-level discussions which will lead to improved lending mechanisms, prolonged reimbursement durations, or government-backed subsidies.”
Whereas many operators have supported the PTMP, many complain that the price of trendy models, starting from P1.6 to P2.4 million, has remained a serious impediment to compliance.
Landbank and DBP supply a mortgage bundle amounting to 95 % of the acquisition value of the modernized jeepney unit. Debtors, nevertheless, must repay the mortgage inside seven years at a set 6-percent each year curiosity. INQ
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