The Bangko Sentral ng Pilipinas (BSP), in collaboration with the Provincial Government of Laguna, participating cooperatives and donor institutions will formally launch today the Laguna Credit Surety Fund (LCSF) at the Cultural Center of Laguna, Provincial Capitol Compound, Sta. Cruz, Laguna.
The LCSF is a surety fund established to help cooperatives and their micro, small and medium enterprise (MSME) members secure collateral-free loans from banks. The surety fund is created by pooling the cash contributions of participating cooperatives, local government unit and other partner institutions.
The Chairman of the Monetary Board and Governor of the Bangko Sentral ng Pilipinas, Amando M. Tetangco, Jr. and Laguna Governor Jeorge E.R. Ejercito Estregan, will lead the signing of the Memorandum of Agreement (MOA) ushering the creation of LCSF as the 25th Credit Surety Fund (CSF) in the country.
As of 14 August 2012, fourteen cooperatives in the province have joined the LCSF with an aggregate contribution of P2.125 million while the Provincial Government of Laguna, through Governor Jeorge ER Ejercito Estregan, pledged to contribute P5.00 million. The Industrial Guarantee and Loan Fund, Development Bank of the Philippines and Land Bank of the Philippines have also expressed strong support to the CSF Program with their contribution pledges to augment the fund.