▪ Barangay
▪ Municipality
▪ City
▪ Province

▪ Based on the requirement of the project, but should not be more than the Net Borrowing Capacity (NBC) of the LGU per BLGF Certification.

▪ Construction, installation, improvement, expansion, operation and maintenance of various infrastructure projects
▪ Procurement, processing, trading, and other related activities for palay, corn and other high value crops.
▪ Acquisition, establishment of post-harvest processing facilities/equipment and hauling/transport facilities provided that such facilities are not subject of fixed asset grant received by the LGU from PHILMECH under RCEF and other government-funded projects or grants.

▪ Based on prevailing market rate plus minimum spread
based on the LGU’s credit rating
▪ For barangays – Prevailing market rate plus minimum spread of two (2) percent but not lower than the spread applicable to the city or municipality where the barangay is located.

Pre-processing
▪ Sanggunian Resolution
▪ Authorizing the LCE to borrow funds, negotiate and enter into a loan agreement with LANDBANK
▪ Authorizing the LCE to sign, endorse loan documents, mortgages, deed of assignments, agreements, notes and other
documents pertaining to the loan obtained from LANDBANK; and
▪ Approving the projects to be financed and these are in accordance with the approved local development plan and public
investment program
▪ Commission on Audit (COA) audited financial statements (FS) for the past three (3) years, if not available at COA or respective
LGU website. Submission of Interim FS shall not be required from LGUs.
▪ Ordinance approving the Local Development Plan/Annual Investment Program;
▪ List of elected officials and key officers, if not yet available nor can be obtained from the LGU’s website;
▪ Feasibility Studies (whenever applicable);
▪ For projects involving construction: Cost Estimates, Plans and Specifications, Bill of Materials and Work Program/Schedule duly
approved by the LCE; and
▪ For acquisition of machinery and equipment: quotation from supplier/s.
Collateral Requirements
▪ Deed of Assignment of the National Tax Allotment (NTA) and/or the regular/recurring revenues of the LGU

Barangay, Municipal, City, and Provincial LGUs may avail of the program.

Eligible projects include infrastructure (roads, bridges, hospitals, markets, schools, water systems, renewable energy, etc.), all other revenue-generating and non-revenue projects under approved local development plans, and agri-related initiatives such as procurement and post-harvest facilities.

The loan amount shall be based on the project’s requirements but shall not exceed the LGU’s Net Borrowing Capacity (NBC) per Bureau of Local Government Finance certification.

Loans may have a tenor of up to 15 years, depending on the project to be financed, with a maximum grace period of three (3) years on the principal. No grace period shall be allowed on interest.

Yes. LANDBANK may finance up to 100% of the project cost, including loan take-out and reimbursement of completed projects, subject to appraisal and compliance with guidelines.