To help ensure the growth of Micro, Small, and Medium Enterprises (MSMEs) in the city, the City Government of Davao, through the City Cooperative Development Office (CCDO), continues to offer various programs.
The CCDO provides financial assistance in the form of loans for cooperatives through the Cooperative Financial Assistance Program (CFAP), and the Cooperative Livelihood Development Program-Start-Up Capital Assistance (CLDP-SUCA) for individual members of cooperatives.
Livelihood trainings and financial literacy trainings are also being offered.
February Banate, CCDO’s CFAP Focal, said in an interview that the CFAP is a financial assistance program in the form of loans for cooperatives at zero percent interest.
“This program facilitates enhancement and growth of MSME cooperatives that will contribute to the improvement of the local economy,” she said.
Under the CFAP, micro and small cooperatives may borrow P100,000 to P300,000 payable in three years. Medium and large cooperatives may borrow P301,000 to P1 Million payable within two years.
From 2020 to present, a total of 45 cooperatives have availed of the CFAP.
Banate said that to avail of the CFAP, cooperatives must comply with the documentary requirements including a letter of intent, certification as to having no outstanding loan balance, and a project proposal.
Interested cooperatives may reach out to CCDO’s district offices for more information on how to avail the CFAP.
Meanwhile, individual members of cooperatives who wish to start their own business may avail of the CCDO’s CLDP-SUCA.
Edna Haspe, CCDO’s CLDP-SUCA Focal, said in an interview that the CLDP-SUCA is a financial assistance program intended for disadvantaged members of cooperatives who are willing to do their own business.
“The program aims to promote self-sufficiency among identified marginalized cooperative members,” she added.
Through the CLDP-SUCA, the CCDO conducts livelihood trainings and financial literacy discussions to cooperatives in order to equip members with the necessary technical and vocational skills.
“Before mi muhatag og financial assistance, muhatag mi daan og livelihood training sa ilaha. Bago sila makahulam ng any amount dapat na-complete muna nila ang training and aligned doon ang kanilang gusto itayo na business (We provide them with livelihood trainings before granting financial assistance. In order to avail of the assistance, they first need to complete the training, and the business they plan to establish must be in line with the training that they’ve completed),” Haspe said.
The CLDP-SUCA provides individual members of cooperatives with financial assistance in the form of loans for their start-up capital.
For the start-up capital, members may make a zero-interest loan amounting to P10,000 up to P20,000 payable in one year. Cooperative members who already has their own business may also make a working capital loan of P30,000 to P50,000 payable within three years with zero percent interest.
Since its first batch of loan release in 2021, the CCDO already has 12 batches of beneficiaries with a total of 135 beneficiaries.
To avail of the CLDP-SUCA, individual members must be a resident of the city, a cooperative member, have completed the skills training conducted by the CCDO, must have a good track record in its loan repayment, and must have no outstanding loan balance.
Interested and qualified members of cooperatives may coordinate with the CCDO’s district offices for further details on how to avail the assistance. CIO
