Philippines offers US$247m in shipping industry loans
The Philippines' newly established National Leasing Corp. (NLEC) has been placed in charge of a PHP12 billion loan facility (US$247.4 million) to spur growth in the nation's shipping industry.
The funds are intended to finance projects relating to ship acquisition, shipbuilding, vessel spare parts accruement and shipyard construction.
The NLEC, under the Department of Transportation and Communication (DOTC), is headed by the department's former undersecretary, Agustin Bengzon.
A report by the Cebu Sun Star said the funds are believed to be part of a PHP30 billion loan from the Japan Bank for International Co-operation (JBIC) to the Philippine Government to improve the shipping industry.
Philippine President Gloria Arroyo is said to have instructed the bank to charge a "reasonable" interest rate to encourage borrowers to participate in the scheme.
The fund is already reported to have caught the attention of the nation's Shipyard Association, which plans to borrow to finance training.
Some want Manila to finance shipbuilding to build its own vessels, particularly as overseas shipyards are booked for the next decade.
The funds are intended to finance projects relating to ship acquisition, shipbuilding, vessel spare parts accruement and shipyard construction.
The NLEC, under the Department of Transportation and Communication (DOTC), is headed by the department's former undersecretary, Agustin Bengzon.
A report by the Cebu Sun Star said the funds are believed to be part of a PHP30 billion loan from the Japan Bank for International Co-operation (JBIC) to the Philippine Government to improve the shipping industry.
Philippine President Gloria Arroyo is said to have instructed the bank to charge a "reasonable" interest rate to encourage borrowers to participate in the scheme.
The fund is already reported to have caught the attention of the nation's Shipyard Association, which plans to borrow to finance training.
Some want Manila to finance shipbuilding to build its own vessels, particularly as overseas shipyards are booked for the next decade.
