▪ Individual coconut farmers
▪ Cooperatives and Associations of Coconut Farmers

▪ At least P 50,000.00, but not to exceed the following:
      ▪ For production loan/working capital/fixed asset
        acquisition/relending: up to 90% of the total
        project cost or financing requirement
      ▪ For rediscounting: up to 90% of face value of
        the sub-PN or its outstanding balance in current
        status, whichever is lower

▪ Production
▪ Working capital
▪ Acquisition of machinery and equipment
▪ Establishment of facilities
▪ Relending and rediscounting

▪ Direct Lending – 2% per annum (p.a.)
▪ On-Lending: 0% p.a.
     ▪ Pass-On Rate - Not to exceed 6% p.a., (inclusive of other fees and           charges)

For Production Loan:
Any or a combination of the following:
▪ Security interest over insurance proceeds, if applicable; and
▪ Security interest over expected produce

For Working Capital and Acquisition of Fixed Assets:
Any or a combination of the following:
▪ REM on the land/project site (applicable only for establishment of facilities/buildings)
▪ Security interest over object of financing and/or over the hard collaterals
▪ Security interest over contract receivables, if applicable
▪ Security interest over insurance proceeds, if applicable

For On-Lending:
Any or a combination of the following:
▪ Security interest over sub-borrowers PNs including underlying collaterals, if any
▪ Security interest over insurance and guarantee proceeds, if applicable

The CFID Lending Program utilizes the Coconut Farmers and Industry Trust Fund, established under Republic Act No. 11524, to provide individual farmers and their organizations with easy access to affordable credit. This program aims to boost economic activity in the provinces, especially in communities engaged in coconut farming and harvesting.

All provinces are covered by CFID, including those under BARMM.

a. Individual Coconut Farmers

b. Cooperatives and Associations of Coconut Farmers

a. For Individual Coconut Farmers

i. Listed in the CFR or NCFRS

ii. With proven track record (experience/training from concerned government agencies, e.g. ATI/BFAR/DA/LBP/PCA/PhilMech/ TESDA) on financial literacy and on projects related to the coconut value chain

iii. With viable project

iv. With marketable surplus of the project or other confirmed sources of repayment

b. For Cooperatives

i. PCA-accredited; Duly registered with the CDA or SEC, as applicable

ii. No adverse findings on the organization and its principals

iii. Should have strong back-office support with defined Operational Structure (cooperative has a General Manager, bookkeeper, collection officer)

iv. Must exhibit profitable operations and sound financial condition (DSC of at least 1.0, maximum Debt/Equity Ratio of 90:10 throughout the term of the loan)

v. Net Past Due Loan Ratio not exceeding 25%

vi. Certificate of Compliance from CDA, if applicable

vii. The cooperative/association and its key officers (general manager, sales manager, bookkeeper) has received training on financial literacy and technical training on any aspect of the coconut value chain

viii. The Latest Audited Financial Statement (FS) shall not be older than 18 months;

Interim FS must be submitted for any Audited FS that exceed six (6) months since the close of the last accounting period.

Lending to start-ups may be allowed, provided there is a defined source of repayment (i.e., market agreement, POs), and officers of the organization must have relevant management experience or training on the project.

c. End-borrower for relending/rediscounting – Coconut Farmers listed in the CFR 

Yes, provided that (1) the account is current and (2) loan being applied for is not for the same project. The CFID is treated as “over and above” the other lending programs of LANDBANK.