SME CREDIT GUARANTEE FACILITY (SCGF)
FEATURES
| Eligible Lenders | 1. Banks with CAMELS rating of at least “3”; 2. Non-Bank Financial Institutions (NBFIs) supervised by the Bangko Sentral ng Pilipinas (BSP) |
| Purpose | To expand the Lenders’ SME portfolio by utilizing the sovereign rating and zero–risk weight feature of PHILGUARANTEE’s guarantee |
| Eligible Borrowers | 1. SMEs engaged in: a. export trade; b. manufacturing; c. import substitutes; d. trading activities; e. Industries in the list of Investment Priorities Plan (IPP) of the Board of Investments (BOI) 2. Existing SMEs with a satisfactory credit rating and no incidences of past due. |
| Loan Amount Per Borrower | From PhP 500,000 up to PhP 50 Million per Borrower |
STANDARD TERMS AND CONDITIONS
| Portfolio Requirement | No minimum number of borrowers per batch |
| Guarantee Limit / Coverage | Pro-rata risk sharing guarantee from fifty percent (50%) to eighty percent (80%) of the principal amount of loan. |
| Nature of the Guarantee | Ordinary Guarantee SCGF is not a first loss guarantee, but a pro-rata risk guarantee of losses after reasonable collection efforts pursuant to Circular No. 855 Series of 2014 issued by the Bangko Sentral ng Pilipinas (BSP) |
| Eligible Loan Purpose | Working Capital For Purely Working Capital Loans: Guarantee Ceiling is a maximum of fifty percent (50%) Capex Improvement |
| Term of Loan | 1 – 3 years |
| Term of Guarantee | One Year |
| Portfolio/Account Review | Every Anniversary Date |
| Portfolio Default Tolerance | PHILGUARANTEE has the discretion to review the guarantee facility of a Bank once it reaches any of these points: 1. GNPL of Covered Loans reaches twice (2x) BSP average GNPL per latest yearend BSP statistics. Benchmark shall be based on Bank’s Classification (i.e. UKB/KB, TB, RB). 2. When actual claims reach 30% of the guaranteed amount PHILGUARANTEE may suspend acceptance of new accounts during the review period. Existing Guaranteed Accounts will not be affected. |
| Fees: | |
| Guarantee Fee | 1.25% to 2.50% per annum plus GRT |
| Origination Fee | Five (5) basis points (bps) for every PhP 10 Million (0.05% per PhP 10 million) payable upfront. |
| Out of pocket fees | Not Applicable |
| Amendment Fee | PhP 5,000.00 per amendment |
| Collateral/Security | As maybe required by the accredited lending bank or financial institution |
NOTE:
MSMEs shall be defined as any business activity or enterprise engaged in industry, agribusiness, and/or services whether single proprietorship, cooperative, partnership or corporation whose total assets, inclusive of those arising from loans but exclusive of the land on which the particular business entity’s office, plant and equipment are situated, must have value falling under the following categories:
1. Micro not more than P3,000,000
2. Small P3,000,001 to P15,000,000
3. Medium P15,000,001 to P100,000,000
