Philguarantee Backs P2.41B in Cooperative Loans

THE Philippine Guarantee Corp. (Philguarantee) has said it backed P2.41 billion worth of outstanding guaranteed loans for cooperatives as of the end of June. This benefited 24,386 individuals, the state-owned corporation said in a statement Tuesday. “As a key partner in development financing, Philguarantee empowers cooperatives to expand their lending capacity and provide financing support to communities engaged in productive activities,” it said. “By helping reduce credit risk exposures, Philguarantee encourages broader private sector participation in extending credit support to vital sectors of the economy,” it added. Of the total, P1.76 billion in guarantee support was directed toward cooperatives accredited by the Agriculture Guarantee Group. These supported 24,255 beneficiaries, particularly those involved in rice production and other agricultural activities. Philguarantee has also started extending financing opportunities to micro, small and medium-sized enterprises. “From 2024 to June 2026, cooperatives accessed P28.48 million in cumulative outstanding guaranteed loans, benefitting 113 beneficiaries,” Philguarantee said. The state-owned corporation also provides guarantee support through the Electric Cooperative Partial Credit Guarantee Program, which helps electric cooperatives access financing for their operations and sustainable development requirements. At the end of June, 18 electric cooperatives had availed of the program, with P622.60 million in cumulative outstanding guaranteed loans. Of Philguarantee’s 206 partner lending institutions at the end of June, 46 are cooperatives. — Justine Irish D. Tabile