OWWA MEMORANDUM OF INSTRUCTIONS NO. 0100, October 09, 1990

AMENDMENTS TO MOI 099 — ON CAPITAL BUILD-UP SCHEME FOR NON-COLAT AND LOAN CEILING FOR MICRO ENTERPRISE FINANCING AND ADDENDA TO GROUP LOANS AND REPAYMENT TERM ON EXPANDED LIVELI…

National Administrative Register October 9, 1990
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In view of the consensus reached in the initial Regional Consultation
Workshop on the implementation of ELDP, the following amendments and
addenda are hereby prescribed:

Amendments —

1.  Under the Capital Build-up Scheme, the beneficiary shall be
required to open a joint savings account between this office and himself
instead of a non- withdrawable savings account.  The Project Officer
shall be the counter-signaturee on all withdrawals.

2.  Instead of a loan ceiling of P500,000 — as stipulated in our
MOI 099 specifically on the Micro-Enterprise Financing, the loanable
amount shall be P5,000 and above.

3.  Legal documentation items 10-13 shall not form part of project
document requirements to be submitted upon application but these shall
be prepared/submitted immediately after loan approval.

4.  Collateral requirement under Home Appliance item #2 is Deed of Sale or Donation.

Addenda —

1.  The repayment term for the program shall be as follows:

1.1     Non-collateral Loan Window

Loans intended for working capital shall have a repayment term of six (6) months; except for agri-business projects.

Loans intended for the purchase of fixed assets shall have a repayment term of a maximum of one (1) year.

1.2     Micro-enterprise Financing

Loan intended for working capital shall have a repayment term of one (1) year; except for agri-business projects.

Loan intended for the purchase of fixed assets shall have a repayment term of a maximum of two (2) years.

1.3     Small Enterprise Financing

Loans intended for working capital shall have a repayment of a maximum of one (1) year; except for agri-business projects.

Loans intended for the purchase of fixed assets shall have a repayment term of a maximum of five (5) years.

2.  Loan requirement for Group loan whose membership range from 2-5 overseas contract workers are as follows:

1.       Partnership Agreement;

2.       A certificate of Good Standing in the community issued by the Barangay Chairman;

3.       A written and official recommendation from OWWA Regional
Office that the group is cohesive enough for a collective undertaking:

4.       Special Power of Attorney authorizing the group head to mortgage personal and real estate properties of group members.

For strict implementation.

Adopted: 09 Oct. 1990

(SGD.) ATANACIO V. MARONILLA
Administrator