Monday, November 23, 2015
PAEZ HAILS M'FINANCE NGOs ACT
REP. CRESENTE "MR. CO-OP" PAEZ, hailed the recent enactment of R.A. 10693, the Microfinance NGOs Act, even as he expressed appreciation to Pres. Benigno Aquino III for signing the pro-poor legislation, into law.
POOR TO BE GIVEN ACCESS
TO FINANCIAL SERVICES
"This is a welcome development because the poor will be given access to financial services such as credit, savings and insurance that are reasonably-priced, by way of proper regulation of microfinance NGOs," Paez, who was one of the co-authors of the Microfinance NGOs Bill in the House of Representatives, said in a press statement.
Paez, adopted by the Liberal Party as Senatorial Candidate, from the cooperative sector, pointed out that poor Filipinos, who are considered as unbankable, are deprived of financial services from commercial banks, so they face financial exclusion.
FOSTERS ENTERPRISE DEVELOPMENT,
The new law, which recognizes the important role of non-governmental organizations (NGOs) engaged in microfinance operations for the poor, is fostering local enterprise development and social entrepreneurship.
"The law will strengthen microfinance NGOs to pave the way for the poor to make their livelihood sustainable through the provision of microenterprise services. We are helping here the micro and small enterprises so they would be given opportunities to contribute to inclusive growth," Paez explained.
BRAVO: IN TIME FOR
Rep. Anthony Bravo (Coop-Natcco PL), co-author of the House Bill on Microfinance NGOs Act, also hailed the passage of R.A. 10693.
"It is very timely because micro, small and medium enterprises need technical and financial services at this time of ASEAN integration, so they won't be left out. The poor and low-income individuals like the farmers, will be saved from borrowing from loan sharks that charge exorbitant interest rates," Bravo said.
ONLY 2% TAX ON GROSS RECEIPTS
FROM MICROFINANCE OPERATIONS
Bravo also underscored that duly-accredited microfinance NGOs are given preferential tax treatment under the new law, where they will pay only 2% based on the gross receipts from microfinance operations, in lieu of all national taxes.
Paez and Bravo are also pushing for the passage of the Poverty Reduction Through Social Entrepreneurship (PRESENT) Bill, another poverty alleviation measure.
They both authored HB 1331, the Promotion of Social Enterprises to Alleviate Poverty, Establishing for the Purpose the Poverty Reduction Through Social Entrepreneurship (PRESENT) Program, that is pending in the Lower House. (END).