Pag-IBIG Funds P929M for Government Housing Program

The new loan program of the House Development Mutual Fund (Pag-IBIG Fund) allows existing housing loan borrowers/installment buyers to take out a second loan to finance house improvements and other family needs. TMT FILE PHOTO
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MANILA, Philippines: In a significant move towards addressing the housing needs of underserved low-income Filipino families, the Pag-IBIG Fund has approved a credit line of P929 million. The funds will be channeled through the Social Housing Finance Corporation (SHFC) to support the Pambansang Pabahay para sa Pilipino Housing or 4PH program, a government initiative aimed at providing affordable housing.

The Department of Human Settlements and Urban Development (DHSUD) Secretary and Pag-IBIG Chairman, Jose Rizalino L. Acuzar, expressed his satisfaction with the collaboration between key shelter agencies, stating, “I am happy to report that our key shelter agencies remain united in their mission of bringing opportunities for homeownership closer to our fellow Filipinos, especially the underserved.”

The approved credit line will enable the construction of a total of 2,264 housing units across four areas in the country. These include 996 units in San Fernando City, Pampanga; 352 units in Tondo, Manila; 416 units in Tagoloan, Misamis Oriental; and 500 units in Davao City.

Acuzar emphasized the importance of the credit line, stating, “With Pag-IBIG Fund’s approval of a revolving credit line for the SHFC, we are now better equipped to provide our informal settler families (ISFs) with affordable housing in a safe environment under secured communities.”

To ensure the proper and efficient use of funds, the revolving credit line incorporates safeguards such as corresponding loan collaterals provided by the SHFC, a maximum payment term of three years, and provisions ensuring the release of funds for the intended projects.

Pag-IBIG Fund Chief Executive Officer, Marilene C. Acosta, highlighted the organization’s commitment to address the housing backlog under the 4PH Program. She stated, “Pag-IBIG stands as the single largest source of home financing in the country today, with a share of nearly 40 percent of the home mortgage market.”

Acosta also expressed the organization’s enthusiasm for partnering with the SHFC under the Pambansang Pabahay para sa Pilipino or 4PH Program. She emphasized the positive impact this collaboration will have on Informal Settler Families (ISF) communities, stating, “Our members can expect more similar partnerships to provide them even more opportunities to own a home.”

Currently, the housing backlog in the Philippines is estimated to be around 6.5 million. The approval of this credit line is a significant step towards addressing this pressing issue and providing affordable housing options for underserved families.

In conclusion, the Pag-IBIG Fund’s approval of a P929-million credit line for the government’s housing program is a significant development in addressing the housing needs of underserved low-income Filipino families. With the funds being channeled through the Social Housing Finance Corporation, the goal of the Pambansang Pabahay para sa Pilipino Housing program to provide affordable housing to the underserved is being realized. The collaboration between key shelter agencies, as well as the safeguards incorporated in the credit line, ensures the proper and efficient use of funds. This approval reflects Pag-IBIG Fund’s commitment to addressing the housing backlog and providing opportunities for homeownership to more Filipinos.

Source: The Manila Times

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