THE Department of Trade and Industry’s (DTI) financing arm, Small Business Corp. (SBCorp), has set a target of P12 billion in loan releases this year.
The funds will cover “all the programs under [the] DTI-SBCorp,” SBCorp President Robert Bastillo told reporters on Wednesday at the launch of its financing offers.
It’s also possible that the amount could be higher, he added.
“If there’s a big demand for these new programs... it could go up to P15 billion, depending on the available funds,” Bastillo said, noting that raising the available funds requires a permit from the Department of Budget and Management.
SBCorp offers low-interest facility loans, multipurpose loans, and special lending programs for micro, small and medium enterprises (MSMEs).
In 2025, it provided financial assistance to 66,803 MSMEs, releasing more than P11 billion in loans.
The loans have flexible repayment structures, including grace periods of three months to one year, giving entrepreneurs time to stabilize operations before making regular payments.
Borrowers who maintain good repayment records may also have access to larger credit lines.
“For example, a borrower who starts with a P3-million multipurpose loan and maintains regular payments may have the loan facility increased to P5 million after several months,” Bastillo said.
Women account for 60 percent of SBCorp’s borrowers, Bastillo noted, citing three reasons.
“When we launched our mobile app last year, it became more accessible to [women], so now it’s easier to apply. Second, we’ve been promoting and talking to women’s groups. Third, we’re organizing road shows. These are specialized events with partners. It could be an LGU (local government unit), it could be a women’s group,” Bastillo said.
Loanable amounts range from P50,000 to P3 million, with flexible payment terms of up to three years.
Loan repayment comes with 0 interest for the first 12 months, followed by a 1-percent monthly interest based on a diminishing balance for the remaining months.
SBCorp was created on Jan. 24, 1991, under Section 11 of Republic Act (RA) 6977, amended on May 6, 1997, by RA 8289, or the Magna Carta for SMEs.
It is under the policy program and administrative supervision of the MSME Development Council of DTI, the agency responsible for the promotion and development of SMEs in the country.