State-run Land Bank of the Philippines (LandBank) said loans to overseas Filipino workers (OFWs) under the OFW Reintegration Program (OFW-RP) has already reached P2.68 billion as of March 2024.

In a statement on Monday, LandBank said the program, which is jointly implemented with the Overseas Workers Welfare Administration, aims to enable OFWs to pursue business opportunities in the Philippines as an alternative to overseas employment.

As of March 2024, the bank approved a total of P2.68 billion in loans to 1,504 borrowers.

Under the OFW-RP, eligible OFWs may avail of loans for working capital or acquisition of fixed assets at a minimum amount of P100,000 and up to P2 million for a single proprietor borrower, and P5 million for a group of OFW borrowers, with a fixed interest rate of 7.5% per annum.

The short-term loans under the program are payable up to one year, while the tenor for term loans shall be based on cash flow but not to exceed seven years, inclusive of a maximum of two years grace period on the principal.

The OFW-RP offers funding for a wide range of viable business ventures, including franchises, agricultural and non-agricultural production and marketing endeavors, construction projects, rental services, trading businesses, and transportation services, among others.

“We recognize the significant contributions of our OFWs to the economy, and through this program, we are providing them access to affordable financing and essential support services," LandBank President and chief executive officer Lynette Ortiz said.

"We hope to turn their hard-earned savings abroad into thriving businesses here in the Philippines for their families and beneficiaries,” Ortiz added.