Over a hundred representatives of various cooperatives in the Davao Region gathered at Rizal Park, Davao City to celebrate the International Day of Cooperatives.
Davao City Councilor Al-Ryan Alejandre is pushing to expand the city’s zero-interest loan program for cooperatives and people’s organizations, saying bigger financial assistance could help more farmers, fisherfolk, and small community groups grow amid rising costs.
Alejandre, chair of the Committee on Cooperative Development and People’s Participation, said he plans to amend the Cooperative Financial Assistance Program (CFAP) to increase the amount local cooperatives and people’s organizations can borrow through the City Cooperative Development Office.
Under his proposal, micro and small cooperatives could access PHP 300,000 to PHP 500,000 in loans, up from the current PHP 100,000 to PHP 300,000. Medium to large cooperatives, meanwhile, could qualify for PHP 1 million to PHP 2 million, significantly higher than the existing PHP 300,000 to PHP 500,000 range.
Alejandre said the higher loan ceiling, combined with zero interest, could encourage more groups to take advantage of the program. He noted, however, that some cooperatives and people’s organizations still hesitate because of incomplete documents or concerns about repaying loans on time.
“We will fast-track it — hopefully it should be completed by June,” Alejandre said on April 28 at the Sangguniang Panlungsod. He said the proposed expansion aligns with Mayor Sebastian “Baste” Duterte’s plan to increase loanable amounts for cooperatives in response to continued inflation.
Alejandre said he is now coordinating with the City Cooperative Development Office and has set a meeting with the agency before the end of April to refine the proposal. He hopes the amendments will gain approval by 2026 for implementation and budget inclusion by 2027.
Davao City has about 400 cooperatives, with 38 currently accredited. While accreditation is not mandatory, Alejandre said cooperatives must secure accreditation to qualify for the city’s loan program.
