A major new government initiative promises to dramatically expand and lower the cost of credit for the country's micro, small, and medium enterprises (MSMEs). The Department of Trade and Industry (DTI) and the Land Bank of the Philippines (Landbank) have joined forces to launch a nationwide lending program designed to fuel inclusive business growth.
Program Details: Tiered Financing for Every Stage
The two agencies formalized their partnership by signing a Memorandum of Agreement on December 9, 2025. The program is officially called the Landbank Innovative Financing Thrust Towards Inclusive National Growth thru MSMEs (Lifting MSMEs) Lending Program.
Its core feature is a tiered loan structure tailored to a business's life cycle:
- Start-up MSMEs can access capital ranging from P100,000 to P500,000.
- Growing businesses are eligible for loans between P500,000 and P5 million.
- Enterprises ready for major expansion can secure financing of up to P50 million.
The loan packages are designed with flexibility in mind, offering adaptable repayment terms and a variety of collateral options. These include traditional real estate mortgages as well as credit guarantee arrangements to make approval more accessible.
Beyond Money: Training and Support for Success
The Lifting MSMEs program goes beyond just providing funds. Landbank has committed to delivering comprehensive support services, including financial literacy workshops, entrepreneurship training, and business development guidance. The bank will also promote digital onboarding and fintech solutions to help MSMEs integrate more seamlessly into the formal banking system.
For its part, the DTI will leverage its nationwide network of Negosyo Centers to provide complementary training in areas like digital marketing and product development. Crucially, the DTI will also help identify and endorse qualified borrowers for the program.
Priority will be given to women-led enterprises, young entrepreneurs, market vendors, and franchising ventures, ensuring the program's benefits reach key segments of the economy.
Lifting the Backbone of the Economy
In a statement, Trade Secretary Cristina A. Roque emphasized that the initiative directly tackles the perennial challenge of financing that hinders many MSMEs. "The very name 'Lifting' describes our goal: to lift, to empower, and to open doors for the backbone of our economy, our beloved MSMEs," Roque said.
She explained that the program aims to give entrepreneurs the necessary "breathing room to innovate, hire more people, and strengthen their operations." Secretary Roque also framed the partnership as a concrete example of the administration's development agenda, calling it "Bagong Pilipinas in action — government and institutions working together so opportunities reach the people who need them most."
The program's launch event attracted over 200 MSME representatives from Metro Manila, Laguna, Rizal, Bulacan, and Cavite, signaling strong initial interest and marking the start of its phased rollout across the Philippines.
