Magsasaka Party List Continues to Push Debt Consolidation Bill – Manila Bulletin

The Magsasaka party roster continues to push for passage of legislation seeking to allow debt burdens and write-offs incurred by Agricultural Reform Beneficiaries (ARBs).

“Tolerating the debt of agrarian reform beneficiaries is not only the right step in the pursuit of social justice, but also a stimulus to economic growth that puts the country’s agricultural sector at the forefront,” he said. said Robert Nazar of Magasasaka’s party list.

Nazar has vowed to seek approval of the bill once the internal dispute on the party list is resolved. He was referring to the Supreme Court (SC) issuing a temporary restraining order (TRO) based on his assumption as a congressman.

Read: https://mb.com.ph/2022/10/20/comelec-to-abide-respect-sc-resolution-on-magsasaka-pl-dispute/

“Farmer beneficiaries will have a fresh start and be freed from the shackles that the law was really meant to free them from,” he said.

In his first National Address (SONA), President Ferdinand “Bongbong” Marcos Jr. said his administration would push for a one-year ARB debt moratorium.

Read: https://mb.com.ph/2022/07/25/marcos-to-grant-1-year-moratorium-on-payments-interest-for-agrarian-reform-beneficiaries/

Marcos estimates that the alimony will benefit “about 654,000 ARBs and cover approximately P58.125 billion, including a total of 1.18 million hectares of granted land.”

Nazal noted that the government was having difficulty collecting the loans granted to the ARB and therefore required acceptance of the debt.

“But despite noble intentions, the government is now running a staggering recoverable deficit from the aforementioned loans, both on land and on credit secured by agricultural reform beneficiaries…although , failure to collect is not only the lack of efficient management of collection, but also the inability of the farmer’s beneficiary to bear the loan in the first place, not to mention compound interest, fines or surcharges,” he said.

In a statement, he cited data from the Bangkok Sentral ng Pilipinas (BSP) that found lending from Philippine banks to the agricultural and agricultural sector surged from P713.6 billion in 2020 to P851.76 billion in 2022. quoted.

“In short, it is in no one’s interest to prolong the burden on farmer beneficiaries. Continuing interest unduly increases debt, but debt remains debt. Governments can afford to bear the costs of collection. There is no such thing,” Nazar concludes.

Last September, the House Agricultural Reform Committee formed a Technical Working Group (TWG) to consolidate several House bills calling for ARB debt relief.

Read: https://mb.com.ph/2022/09/14/farmers-debt-condonation-bill-moves-forward-in-house/