EIGHTEENTH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES ) 
First Regular Session 
)
SENATE 
S. B. NO. 1542
I©Hue lit J)}t' ijr. 
’
20 MAY 26
R£Q
P2:06 /
Introduced by SENATOR VICENTE C. SOTTO III
AN ACT
ESTABLISHING AN ECONOMIC STIMULUS STRATEGY FOR THE 
COUNTRY'S GROWTH AND DEVELOPMENT IN THE AFTERMATH 
OF COVID 19 AND PROVIDING FUNDS THEREFOR
EXPLANATORY NOTE
Uncertainties have surrounded nations, inciuding the Phiiippines, 
since the onset of the coronavirus disease. The virus started as something 
of unknown origin untii science has given us satisfactory and dear 
answers. Much has been discovered about our invisible enemy since, and 
numerous health concerns were already addressed. But the question that 
is still left unanswered is: "When will this pandemic end?" Although 
vaccine and medicine to fight the disease have seen to put an end to the 
pandemic, it is still unknown when will it occur.
The COVID-19 pandemic is not only a global health emergency but 
also social and economic. It has affected all sectors of our society - from 
those very obvious ones, like the health and economic sectors; to those 
less obvious but the hardest hit sectors, like arts, entertainment and 
recreation; learning and education; and travel and tourism. The impact of 
COVID-19 to these sectors are all unprecedented. Big or small, first world 
or third world, no country has been prepared for this public health 
emergency of international concern.


Prior to the pandemic, according to the Department of Finance, the 
Philippines entered 2020 with strong growth prospects due to the 
conservative and responsible fiscal management and tax reform 
measures, just to name a few factors. The Philippines is even said to be 
among the fastest growing economies, with a revenue of 16.1% of gross 
domestic product (GDP), which is the country's highest since 1997. Fast 
forward to May 2020, the Development & Budget Coordination Committee 
(DBCC) has projected a revenue of just 13.6% of GDP for this year, and 
the GDP real growth of -2.0 to -3.4 percent for 2020 from 2019's 6%. 
Also, the projected unemployment rate on the second quarter of the year 
is at 10.2% - almost doubled from 5.3% in January 2020.
In order to offset and mitigate the damages that COVID-19 brought 
to our country, measures should be put in place through legislative 
enactments. Since the intent of the Bayanihan to Heal as One Act is to 
cushion the effects of COVID-19 to the country's health system and to its 
citizens due to the implementation of community quarantine, it has not 
covered the economic effect of this pandemic. Thus, this measure is being 
proposed.
This proposed bill aims to provide a stimulus program to restore 
economic growth, maintain employment levels, and expand the 
productive capacity of the country. Key provisions of this measure include 
the following, among others:
1) Mandates immediate mass testing for COVID-19;
2) Grants wage subsidies to non-essential businesses, freelancers, 
self-employed and repatriated overseas Filipino workers (OFWs);


3) Expands the Tertiary Education Subsidy provided in Repubiic Act 
10931 to cover students whose famiiies are now facing financiai 
difficulties due to the community quarantine;
4) Facilitates the registration of micro, small and medium 
enterprises plus start-ups (MSMEs+) by mandating the 
Commissioner of the Bureau of Internal Revenue (BIR) to waive 
registration and other related fees of MSMEs+ and the Secretary 
of Trade and Industry to provide special accommodation for 
MSME+ for a certain period;
5) Directs the Land Bank of the Philippines (LBP) and the 
Development Bank of the Philippines (DBP) to establish a Special 
Interest Free Loan Fund and provide interest-free loans to non- 
essential businesses and, especially MSMEs+; and
6) Empowers the Department of Tourism (DOT) and its 
instrumentalities to assist critically impacted DOT-accredited 
Tourism Enterprises.
Our situation could get worst if our government will not act swiftly. 
Thus, the immediate passage of this measure is earnestly sought.
VICENTE C. SOTTO III


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EIGHTEENTH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES ) 
First Regular Session 
)
SENATE 
S. B. NO. 1542
ii' af Ujf S&f :t.
20 
P2 -06
REC .
Introduced by SENATOR VICENTE C. SOTTO III
AN ACT
ESTABLISHING AN ECONOMIC STIMULUS STRATEGY FOR THE 
COUNTRY'S GROWTH AND DEVELOPMENT IN THE AFTERMATH 
OF COVID 19 AND PROVIDING FUNDS THEREFOR
Be it enacted by the Senate and House of Representatives of the 
Phiiippines in Congress assembied.
CHAPTER I: General Provisions
SECTION 1. Short Tide. - This Act shall be known as the '^Phiiippine 
Economic Stimuius Act' or PESA.
SEC. 2. Deciaration of Poiicy. - It shall be the policy of the State to 
protect Filipino families and jobs, assist workers and business entities 
facing hardship due to the 2019 Novel Coronavirus disease, hereinafter 
referred to as COVID-19, and preserve the country's trajectory to 
economic prosperity.
Towards these ends, the State shall set aside resources for 
programs and policies that support the country's emergence from an 
economy adversely affected by COVID-19 towards one of continued 
growth and deveiopment.
SEC. 3. Definition of Terms. - As used in this Act, 
a. Business entity refers to sole proprietorship duly registered with the 
Department of Trade and Industry (DTI), a partnership duly registered 
with the Securities and Exchange Commission (SEC), a corporation


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duly organized and existing under Philippine laws, a branch of a 
foreign corporation duly licensed to do business in the Philippines, or 
a cooperative governed by Republic Act No. 9520 otherwise known as 
the Cooperative Code of the Philippines, as amended;
b. Community Quarantine (CQ) refers to the enhanced community 
quarantine imposed in the entire Luzon area under Presidential 
Proclamation No. 929 dated 16 March 2020, as may be extended or 
modified pursuant to such other laws, presidential proclamations or 
executive orders that may be subsequentiy issued or promulgated for 
the purpose of containing the spread of COVID-19;
c. Criticaiiy-impacted businesses refer to non-essential businesses that 
have been directiy and adversely impacted by the COVID-19 outbreak 
such that (i) their liabiiities have become more than their assets, or (ii) 
they have experienced at ieast a [50%] deciine in gross receipts for at 
ieast one caiendar quarter, and in either instance, are generally unable 
to pay or perform their obligations as they fall due in the ordinary 
course of business, as a resuit of the COVID-19 outbreak. For purposes 
of this Act, Critically-Impacted Business shall include the air transport 
industry, tourism industry, and export-import industry, but shall 
exclude banks and other financial institutions under the supervision of 
the Bangko Sentrai ng Pilipinas (BSP);
d. Financiai intermediaries refer to persons or entities whose principal 
functions inciude the lending, investing or piacement of funds or 
evidence of indebtedness or equity deposited with them, acquired by 
them, or otherwise coursed through them either for their own account 
or for the account of others;


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e. Fiscal stimulus refers to any increase in government spending 
undertaken to support economic growth, inciuding temporary tax 
revenue iosses arising from reguiatory forbearance adopted by the 
government;
f. Freelancer refers to a worker who is seif-empioyed and is not 
necessarily committed to, or does not exclusively work for, a particular 
employer for a specific period;
g. Micro, small, and medium-scale enterprise (MSME+) refers to any 
business activity or enterprise engaged in industry, agribusiness 
and/or services, excluding banks and other financial institutions under 
the supervision of the BSP, whether sole proprietorship, cooperative, 
partnership or corporation whose total assets, inclusive of those 
arising from loans but exclusive of the land in which the particular 
business entity's office, plant, and equipment are situated, must have 
a value falling under the following categories:
At least
Not more than
Micro
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P 3,000,000
Small
P 3,000,001
P15,000,000
Medium
P 15,000,001
P 100,000,000
Provided, That, for purposes of this Act, a Startup shall be considered an
MSME+;
h. Negosyo Centers refer to one-stop shop centers established in 
provinces, cities, and municipalities that are mandated to promote 
ease of doing business and access to services for MSME+, among 
others, pursuant to Republic Act No. 10644 or the "Go Negosyo Act";
i. Non-essential businesses (NEB) refer to entities engaged in businesses 
which are not allowed to operate during the CQ under applicable laws.


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presidential proclamations or executive orders issued or promulgated 
for the purpose of containing the spread of COVID-19. The term 
excludes business entities allowed to operate during CQ such as those 
related to (i) the production and sale of goods, or provision of services 
related to food, medicine, health supplies, such as public markets, 
supermarkets, groceries, convenience stores, hospitals, medical 
clinics, pharmacies, and drug stores, (ii) food preparation and delivery 
services, water-refilling stations, manufacturing and processing plants 
of basic food products and medicines, (iii) banks and financial 
institutions under the supervision of the BSP, and (iv) utility services 
involving power, energy, water and telecommunications;
j. Overseas Filipino Worker refers to a person who is engaged or has 
been engaged in a remunerated activity in a state where the person is 
not a citizen, or on board a vessel navigating the foreign seas other 
than a government ship used for military or noncommercial purposes, 
or on an installation located offshore or on the high seas;
k. Self-Employed refers to workers who render services or sell goods as 
a means of livelihood outside of an employer-employee relationship or 
as a career;
l. Startup refers to any person or registered entity in the Philippines 
which aims to develop an innovative product, process, or business 
model, as defined under Republic Act No. 11337 otherwise known as 
"Innovative Startup Act";
m. Tourism enterprises refer to facilities, services and attractions involved 
in tourism, such as, but not limited to: travel and tour services; tourist 
transport services, whether for land, sea or air transportation; tour 
guides; adventure sports services involving such sports as


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mountaineering, speiunking, scuba diving, and simiiar sports activities
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of significant tourism potential; convention organizers;
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accommodation establishments, including, but not limited to,
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hotels, resorts, apartelles, tourist inns, motels, pension houses, and
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home stay operators; tourism estate management services,
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restaurants, shops and department stores, sports and recreational
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centers, spas, museums and galleries, theme parks, convention
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centers and zoos; and
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n. Transportation Industry refers to the business sector engaged in
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transporting paying passengers and freight by air, land and sea, and
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includes the domestic airline companies registered with the Civil
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Aeronautics Board (CAB), and such business entities engaged in the
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business of trucking, shipping, and railroad.
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SEC. 4. General Principles of Economic Interventions. - The economic
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interventions provided for in this Act shall provide immediate relief to
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critically-impacted businesses and non-essential businesses. The
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economic interventions aim to reduce permanent damage to the
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economy, maintain employment levels and have a demonstrable capacity
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to support economic output and preserve the country's productive
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capacity.
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These interventions shall be guided by the following principles:
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a. 
Continuity: Relief to non-essential businesses shall be for
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purposes of preventing business closure, restoring business
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confidence, and reinstating operations of Business Entities to similar levels
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prior to CQ;
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b. 
Compensatory: non-essential businesses shall be reasonably
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and comparably recompensed for business expenses incurred, including


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wages and salaries, which would have been otherwise borne by the
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government during the CQ;
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c. 
Capacity-building: Assistance to Business Entities, local
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government units (LGUs), and the workforce which includes the
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freelancers and members of the informal sectors, shall be for the purpose
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of building the capacity of these entities to adjust to post CQ business
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environment and achieving national resilience to future economic shocks
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or recession; and
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d. 
Proportionality: The individual and aggregate amount of the
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economic stimulus shall be proportionate to the corresponding industry
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economic objectives and the national economic target.
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SEC. 5. Types of Economic Interventions. - The economic
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interventions shall be classified as follows:
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a. Transitional: Transitional interventions are economic relief that
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shall be implemented to mitigate the permanent damage by the
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Covid-19 crisis to the economy and maintain employment levels
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of the corresponding sector or industry. Transitional
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interventions shall be immediate and limited to a specific period.
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b. Financial: Financial interventions are economic relief that are
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intended to accelerate recovery and improve economic
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performance of Business Entities by broadening and increasing
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financiai and credit access. Such intervention may be in the form
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of loans and loan guarantees.
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c. Sectoral: Sectoral interventions are economic relief intended for
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specific sectors or industries, such as MSME+, tourism,
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agriculture and any other Critically-Impacted Businesses. Such
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interventions may or may not be limited to a specific period.


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d. Structural: Structural interventions are measures designed to
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accommodate, close gaps in, or improve any sector or industry
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through an institutionalized mechanism or entity. A structural
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intervention aims to reinforce resilience of the economy as well
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as the Business Entities in the event of future crisis or recession.
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Structural interventions shall not be limited to any specific period,
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unless otherwise provided in this Act.
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CHAPTER II: General Intervention
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SEC. 6. Mass COVID-19 Testing. - To facilitate faster economic
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recovery and ensure safe working environment, massive testing for
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COVID-19 shall be conducted immediately in areas in the country where
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higher possibility of transmission of COVID-19 may occur or have
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occurred.
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The Department of Health (DOH) shall adopt a COVID-19 disease
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surveillance protocol that shall define minimum health standards for
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workplaces and business activities which shall include COVID-19 testing
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and contact tracing. DILG shall procure and distribute the test kits for
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COVID-19, including facilities, equipment and the necessary supplies, and
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shall hire the required medical personnel for the proper implementation
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of the disease surveillance protocols in testing centers and areas. For this
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purpose, procurement by the DILG shall be done in the most expeditious
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manner and shall be exempted from the provisions of R.A. 9184,
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otherwise known as the "Government Procurement Reform Act", and
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other relevant laws. Distribution of the test kits, facilities, equipment and
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the necessary supplies shall be supervised and monitored by the Economic
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Stimulus Board.


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The Department of Interior and Local Government (DILG) shall
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identify and prioritize the areas and business activities critically impacted
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and severely affected by the COVID-19 and with high probability of
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COVID-19 transmission, and coordinate with the relevant LGUs and
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government agencies for the implementation of the COVID- 9 surveillance
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protocol. Testing kits shall be made available to LGUs and government
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agencies for distribution to public and private institutions and enterprises.
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The LGUs and other government agencies, under the guidance and
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supervision of the DOH and DILG, shall adopt the disease surveillance
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protocol, conduct area-based and workplace testing, and monitor
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compliance with the minimum health standards prescribed by the DOH to
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protect the continued health of the general public, and ensure that there
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will be safe resumption of work in the private and government sectors,
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delivery of government functions and services, and economic activity in
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all the industries in the country.
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Covid-19 testing shall be conducted no later than thirty (30) days
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from the effectivity of this Act.
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The amount of Ten Billion Pesos (Phpl0,000,000,000.00) is hereby
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appropriated for this Section for Fiscal Year 2020 and another Ten Billion
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Pesos (Phpl0,000,000,000.00) for Fiscal Year 2021.
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The DILG, in consultation with the DOH, shall issue the
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implementing rules and regulations for this Section, within (ten) 10 days
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after the effectivity of this Act.
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CHAPTER III: Transitional Interventions
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SEC. 7. Wage subsidies. - Wage subsidies shall be provided to non-
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essential Businesses, Free-lancers, the Self-employed, and repatriated
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OFWs.


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a. The Department of Labor and Employment (DOLE) shall offer wage
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subsidies amounting to at least fifty percent (50%) but not more than
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seventy-five percent (75%) of the basic salary costs of a non-essential
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business subject to the following conditions:
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I. The wage subsidy shall cover the basic salary cost of the rank
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and file employees only and shall exclude the senior and
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executive officers of the relevant business entities;
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ii. In determining the basic salary cost of a non-essential business,
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the maximum monthly salary of an employee shall not exceed
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Fifteen Thousand Pesos (PhP15,000);
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iii. The wage subsidy shall be based on the number of rank and file
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employees at the time of the imposition of the CQ;
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iv. The wage subsidy shall only be provided for a period of two (2)
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months;
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V. For the duration of the wage subsidy, a non-essential business
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entity must retain such number of employees or workers in
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proportion to the percentage of wage subsidy to basic salary
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cost as offered under this Section, excluding those employees
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whose employment are terminated for just causes provided
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under the Labor Code of the Philippines, and those employees
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who voluntarily terminated their employment and taking into
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account the limitations on work arrangements prescribed under
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the COVID-19 health and social distancing standards.
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The maximum wage subsidy shall be offered to critically-impacted
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businesses and those that support priority programs of the government
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such as the Build, Build, Build.


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b. The DOLE shall provide wage amelioration directly to freelancers,
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professionals and the self-employed through an open-application
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window system: Provided, That the amount of wage amelioration shall
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not be more than seventy five percent (75%) of the applicable
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minimum wage and only for a maximum period of two (2) months.
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c. The DOLE shall provide unemployment benefits to OFWs who were
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repatriated, whether voluntarily or mandatorily, including those whose
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deployment to other countries were prevented, as a resuit of COVID-
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19, to aid such OFWs in job search: Provided, That the maximum
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amount for such OFW unemployment benefits shall be equivalent to
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Fifteen Thousand Pesos (PhP15,000.00) every month until the
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recipient OFW finds gainfui employment but only for a period not
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exceeding two (2) months.
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The Social Security System (SSS), Bureau of Internal Revenue
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(BIR), and DOLE shall establish a central database to avoid duplication of
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application for and to track distribution of wage subsidies, and for other
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purposes. The SSS and the BIR shall also provide free registration for
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freelancers to promote their integration into the formal economy.
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The amount of One Hundred Ten Billion Pesos (Php
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110,000,000,000.00) is appropriated for the implementation of this
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Section.
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The DOLE shall issue the implementing rules and regulations for this
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Section, within (ten) 10 days after the effectivity of this Act.
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SEC. 8. Enhanced TUPAD. - To provide temporary employment to
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displaced workers, the DOLE shall expand the Tuiong Panghanapbuhay
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sa Ating Displaced/ Disadvantaged Workers (TUPAD), its community-
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based disinfection and sanitation programs including workers from the
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informal sector who have lost their livelihood or whose earnings were
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affected due to the CQ. Under the enhanced TUPAD, displaced workers
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shall be required to work as may be prescribed under the guidelines of
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TUPAD, but may likewise include work by disinfecting and sanitizing their
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houses, the immediate vicinity, and the common areas in their
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communities and any other COVID-19 related work.
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Such workers shall be paid wages equivalent to the prevailing
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minimum wage in the region.
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The amount of Thirty Billion Pesos (PhP 30,000,000,000.00) is
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appropriated for the implementation of this Section.
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SEC. 9. Educational Subsidy to Students
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A. Emergency Subsidy to COVID-19-impacted Tertiary Students in Private
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Higher Education Institutions. -
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Pursuant to the policy of the State to protect and promote the right of
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all students to quality tertiary education, the Tertiary Education Subsidy
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(TES) provided under Section 7 of Republic Act No. 10931, otherwise
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known as "Universal Access to Quality Tertiary Education Act", shall be
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expanded to cover students whose families are not listed in the
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Listahanan of the Department of Social Welfare and Development, but
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which are now facing financial difficulties brought about by work
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stoppage and closure of establishments due to the CQ: Provided, That,
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priority shall be granted to children of displaced OFWs: Provided, further,
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That the Commission on Higher Education (CHED) shall suspend the
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geographic prioritization in areas, for the implementation of this Act,
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where there are no state universities and colleges to enable all students
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of higher education institutions (HEIs) to become qualified recipients of
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TES.
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For the purpose of COVID-19 response, a maximum of Seven
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Thousand Five Hundred Pesos (Php7,500.00) subsidy per student in 
payment of second semester tuition and other fees shail be paid directly 
to schools which shall be primarily utilized by such schools for the salaries 
of teachers and non-teaching staff, based on CHED determination: 
Provided, That if the semester is ended, no further requirements shall be 
imposed on students, including online classes, except on graduating
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students.
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For this purpose, the amount of Eighteen
Billion Pesos
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(Phpl8,000,000,000.00) under RA No. 11465, otherwise known as the
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"General Appropriations Act", for FY 2020 and the amount of Nine Billion
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Pesos (Php9,000,000,000) under RA No. 11260, otherwise known as the
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"General Appropriations Act", for FY 2019 allocated for TES and other
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subsidies to students in private HEIs under RA 10931 shall be immediately
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released by the Department of Budget and Management (DBM).
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B. Emergency Subsidy to COVID-19 Impacted Students in Private
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Educationai Institutions-
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The following subsidies shall be granted to students who are currently
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not grantees and recipients of existing government subsidies under
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various laws, but are nonetheless facing financial difficulties due to work
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stoppage or closure of establishments. Provided that priority shall be
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granted to children of displaced OFWs.:
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i. Expansion of the Tertiary Education Subsidy under RA 10931,
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otherwise known as the "Universai Access to Quaiity Tertiary
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Education Act"-
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Students in Private Higher Education who are not part of the
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Listahanan of the DSWD and are not qualified recipients of Tertiary
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Education Subsidy under Sec. 7 of RA 10931, shall receive a tuition
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subsidy in the amount of Eight Thousand Pesos (Php8,000.00) each.
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Providedthe geographic prioritization in areas where there are
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no sues 
and LCUs underRA 10931 shall be suspended in the
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implementation of this Act to make all students in private higher
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education institutions qualified and eligible.
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ii. Expansion of government subsidies to students in basic education
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under RA 8545 otherwise known as the "Government Assistance to
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Students and Teachers in Private Education "or GASTPE Act, and RA
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10533, otherwise known as "K to 12 Law"-
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Students in private elementary and junior high schools who
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are currently not recipients of Education Service Contracting (ESC)
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under RA 8545; and students in private Senior High Schools who
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are currently not recipients of the Senior High School Voucher
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Program (SHS VP) under RA 10533, shall receive a tuition subsidy
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in the amount of Three Thousand Pesos (Php 3,000.00) each.
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The subsidies shall be released directly to private higher education
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institutions and private basic education schools, respectively, for the
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purpose of applying the subsidy for unpaid tuition in SY 2019-2020.
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Provided, that the subsidy shall be released prior to the opening of school
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year 2020-2021 or within a reasonable period after school opening but
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before September 1, 2020. Providedthat in order to expedite the
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processing and disbursement of the subsidy, the UNIFAST and the
24 
Department of Education shall engage the services of the Private
25 
Education Assistance Committee (PEAC) for the disbursement and co-
26 
management of the expanded TES; and the expanded subsidies under RA
27 
8545 and RA 10931, respectively.
13


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The amount of Fifteen Billion Pesos (Php 15,000,000,000.00) is
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appropriated for the implementation this Sub-Section.
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SEC. 10. Economic Relief to Overseas Filipino Workers. - Pursuant to
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Section 4 (z) of the Republic Act No. 11469, otherwise known as the
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"Bayanihan to Heal as One Act", and to provide relief to OFWs who are
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uniquely burdened by the impacts of Covid-19 on the global economy,
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OFWs shall be charged by the Philippine Health Insurance Corporation
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(PHIC) no more than three hundred pesos (P300.00) per month for
9 
premium contributions in 2020, no more than three hundred and seventy
10 
five pesos (P375.00) per month in 2021, and no more than four hundred
11 
fifty pesos (P450.00) in 2022, Provided, that, unpaid premium
12 
contributions due from March 15 to December 31, 2020 shall not be
13 
charged interest and penalties.
14 
For this purpose. Section 10, on premium contributions, of the
15 
Republic Act No. 11223, otherwise known as the "Universal Health Care
16 
Act", is hereby amended accordingly.
17 
SEC. 11. Extension of Principal Loan Payments. - Banks, other non-
18 
bank financial institutions under the supervision of the BSP (NBFIs), and
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lending and financing companies under the supervision of the SEC, are
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encouraged to extend the term of or agree to the restructuring of existing
21 
(i) consumer loans of employees of non-essential businesses, and (ii)
22 
commercial loans of or for non-essential businesses, or to fund activities
23 
or investments therein, under the following conditions:
24 
a. The payment dates of the consumer loans and commercial loans
25 
referred herein, or any part thereof, are due anytime between
26 
March 16, 2020 and December 31, 2020;
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b. The loan term shall be extended for a period of one (1) year, and
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may be further extended for another period of one (1) year; and
3 
c. Only the principal payments are suspended.
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The banks and other NBFIs that agree to loan term extension or
5 
restructuring pursuant to this Section shali be entitied to regulatory reliefs,
6 
which may include, but not limited to, (i) non-inciusion in the bank's or
7 
NBFI's reporting on non-performing loans, (ii) exemption from loan-loss
8 
provisioning, (iii) exemption, when applicabie, from the iimits on reai
9 
estate loans, and (iv) exemption from related party transaction
10 
restrictions, as may be determined by the BSP.
11 
SEC. 12. Regulatory Relief for Business Entitles. - The Anti-Red Tape
12 
Authority (ARTA), together with the DTI, DILG and speciaiized reguiatory
13 
agencies, shail prepare a list of non-tax and non-duty fees and charges
14 
imposed on enterprises, including fees and charges imposed on Business
15 
Entities for registration, iicensing and permitting, and inspection.
16 
The President of the Phiiippines shaii have the power, through the
17 
issuance of an executive order, to suspend, reduce or waive the imposition
18 
of any fees and charges in the said iist for a period of One (1) year. The
19 
DTI and the ARTA may recommend the extension of such executive order
20 
to a period not more than one (1) year.
21 
The BIR, Bureau of Customs (BOC), Department of Transportation
22 
(DOTR), SEC, Phiiippine Competition Commission (PCC), and other
23 
reievant reguiatory agencies shaii suspend deadiines for aii fiiings and
24 
payments due during the CQ period and extend the due dates accordingiy
25 
without interests, fines or penaities.
26 
Government agencies, inciuding LGUs, shaii simplify, shorten and
27 
rationalize new business registration, closure, licensing and permitting
15


1 
processes, as well as renewal thereof after the approval of this Act. One
2 
(1) year after the implementation thereof, upon recommendation of DTI
3 
and ARTA, the said new business registration, licensing and permitting
4 
processes may be permanently Implemented by the corresponding
5 
government agency and LCD.
6 
In addition, the BIR shall permanently simplify requirements during
7 
the life cycle of a business beginning with registration until the closure of
8 
such business. This includes, but not limited to, allowing and recognizing
9 
electronic receipts as proof of payment and removing the limitation to
10 
filing and payment of taxes in specific revenue district offices or venue.
11 
Furthermore, the Commissioners of BIR and BOC, in coordination
12 
with the ARTA, shall Install an ARTA Taxpayer's Advocate Offices within
13 
the premises of the Bureaus, who shall be In charge of safeguarding
14 
taxpayer rights.
15 
Finally, LGUs shall be encouraged to reduce the number of
16 
fees/charges and taxes charged where the actual revenues generated are
17 
greater than the cost of compliance and administration of these
18 
fees/charges and taxes.
19 
Sec. 13. Regularization of MSME+. - To ensure that MSME+ are
20 
able to avail of programs, and to broaden the tax base and encourage
21 
business practices that are compliant with the law, the Commissioner of
22 
BIR shall waive registration and other related fees of MSME+ for a period
23 
of not more than eighteen (18) months and if necessary, provide
24 
accommodation for the registration process and compliance of MSME+.
25 
The Secretary of Trade and Industry shall be mandated to issue
26 
necessary rules and regulations to provide special accommodation for the
16


1 
registration and compiiance with reguiatory requirements of MSME+,
2 
inciuding those registered under SEC.
3 
LGUs shaii be encouraged by the DILG and the Department of
4 
Finance- Bureau of Locai Government Finance (DOF-BLGF) to waive
5 
simiiar iocai registration and processing fees.
6 
Negosyo Centers shall coordinate with national and local
7 
government agencies and LGUs to ensure the widest dissemination of
8 
information and benefits under this program, as well as programs offered
9 
by sectors, donor agencies, and bilateral partners.
10 
CHAPTER IV: Financial Interventions
11 
Section 14. General Requirements and Provisions. -
12 
a. For purposes of availing the financial relief provided under Sections
13 
16 to 18 of this Act, the borrower entity must have maintained, at the
14 
time of its loan application, such number of employees equivalent to
15 
seventy five percent (75%) of its total employees on the date of the
16 
effectivity of this Act, and shall continue to maintain such number of
17 
employees for a period of one (1) year from the loan approval date.
18 
Failure to maintain minimum number of employees required herein shall
19 
result in the imposition of penalty, shortening of the loan term, or
20 
withdrawal of the relief, at the discretion of the bank, financial institution
21 
or agency providing the relief.
22 
b. For the effective and immediate implementation of the financial and
23 
economic intervention provided in Sections 16 to 23 of this Act, the
24 
relevant government financial institution or government agency providing
25 
the relief may allot a maximum of five percent (5%) of the appropriated
26 
funds for the program being implemented under its Maintenance and
27 
Other Operating Expenses (MOOE) and Personal Services (PS).
17


1 
c. LGUs shall adopt measures that will facilitate dissemination of
2 
information, and assist and enable their respective constituents to avail of
3 
the relief provided under this Act. Implementing agencies may enter into
4 
partnerships or agreements with public and private entities to ensure the
5 
timely and efficient delivery of services and fulfillment of duties under this
6 
Act, including but not limited to, (1) private lending institutions
7 
participating as conduits for government financial institutions tasked to
8 
implement programs under this Act, and (2) financial technology
9 
firms to ensure and improve access and delivery of interventions to the
10 
recipients, especially MSME+ and those in the informal sector.
11 
SEC. 15. Credit Mediation and Restructuring Service. - To ensure
12 
that MSME+ are able to fulfill obligations under more favorable terms of
13 
credit, strengthen liquidity and financial position thereof, and to expedite
14 
the country's economic recovery, there shall be created a Credit Mediation
15 
and Restructuring Service (CMRS), thru Negosyo Centers or any other
16 
business assistance office of the LGU, to act as credit advisers and
17 
mediators between MSME+ and the banks and lending institutions, and
18 
assist MSME+ in obtaining favorable credit and loan terms from the banks,
19 
lending institutions, and financial intermediaries.
20 
The CMRS shall (i) ensure that an MSME+ is given sound financial
21 
advice on, among others, the proposed borrowing, the risks involved, and
22 
a proper evaluation of the financial position and operation of the relevant
23 
MSME+; (ii) assist in evaluation of the financing options; (iii) oversee the
24 
negotiation process until terms of financing are agreed upon; and (iv)
25 
ensure that an MSME+ is given better access to financing and to a fair
26 
and transparent borrowing and appeals process.
18


1 
Negosyo Centers shall coordinate with LCDs, financial institutions
2 
and government agencies to ensure the widest dissemination of
3 
information and benefits under this program.
4 
The DTI, together with the private sector associations representing
5 
MSME+ and financial institutions, shall jointly craft the implementing rules
6 
and regulations of this Section. The DTI shall issue the implementing rules
7 
and regulations for this Section within ten (10) days from the effectivity
8 
of this Act.
9 
SEC. 16. Loans to MSME+. - The Small Business Corporation
10 
(SBCorp) shall expand its existing loan programs for MSME+ by any or a
11 
combination of the following:
12 
(a) increasing the availability of loanable funds,
13 
(b) reducing eligibility requirements (such as waiver of collateral),
14 
(c) increasing the maximum loan amounts per borrower,
15 
(d) reducing the interest rates,
16 
(e) 
extending loan terms,
17 
(f) 
utilization of financial 
technologies to expand reach and
18 
increase access, and
19 
(g) Setting and committing to faster turnaround time of loan
20 
processing.
21 
In addition to the aliowabie uses of loans under the regular loan
22 
programs of SBCorp, the proceeds of any loan granted under this Section
23 
may be used for the following:
24 
(a) 
payroll costs,
25 
(b) 
materials and supplies,
26 
(c) 
mortgage payments,
27 
(d) 
rent.
19


1 
(e) 
utilities, including fuel and storage,
2 
(f) 
creation of new supportive businesses,
3 
(g) 
re-purposing of existing business capital,
4 
(h) 
any other business debt obligations that were incurred before
5 
the covered period, or
6 
(i) 
acquisition of new technologies and systems to adjust
7 
business processes for resiliency.
8 
SBCorp shall prioritize startups, micro and small enterprises,
9 
including those in the informal sector. Moreover, SBCorp shall also give
10 
preference to establishments requiring financing for any activity that
11 
supports initiatives of the DOH towards ensuring an adequate and
12 
responsive supply of health care services.
13 
The amount of Five Billion Pesos (PhP5,000,000,000.00) is
14 
appropriated as additional paid up capital of SBCorp and Forty-Five Billion
15 
Pesos (Php45,000,000,000.00) is appropriated as Special Program Fund
16 
of SBCorp COVID-19 loan programs for Fiscal Year 2020 and another
17 
Twenty-Five Billion Pesos (Php25,000,000,000.00) for the special fund
18 
program shall be appropriated for Fiscal Year2021.
19 
The SBCorp shall provide a loan-forgiveness program for borrowers
20 
who pay their installments on time. The maximum amount that SBCorp
21 
may waive through the loan-forgiveness program is fifteen percent (15%)
22 
of the loan amount.
23 
Measures aimed at digitization of loan application, approval and
24 
disbursement process shall be implemented. The SBCorp shall coordinate
25 
with the DICT and BSP, and solicit assistance from the private sector in
26 
accomplishing this mandate.
20


1 
The SBCorp shall Issue Implementing rules and regulations for this
2 
Section within (fifteen) 15 days after the effectivity of this Act.
3 
SEC. 17. Interest Free Loans. - The Land Bank of the Philippines
4 
(LBP) and the Development Bank of the Philippines (DBP) shall introduce
5 
an interest-free loan program available to non-essential businesses to
6 
assist and encourage them to continue investing in their businesses:
7 
Provided, That the interest-free loans shall be granted in accordance with
8 
the following guidelines and such other conditions as may be imposed
9 
under the implementing rules that will be issued by the DOF and the BSP:
10 
a. 
The maximum ioanabie amount shall be equivalent to one
11 
hundred percent (100%) of the borrower's direct labor costs for
12 
a period of three (3) months; and
13 
b. 
The loan shall be payable within three (3) to five (5) years:
14 
Provided, further, That priority shaii be given to agri-fishery
15 
businesses, and non- essentiai businesses that are small and
16 
medium enterprises, inciuding startups: Provided, finally. That
17 
the LBP and DBP shall give preference to MSME+ requiring
18 
financing for an activity that supports the initiatives of the DOH
19 
towards ensuring an adequate and responsive supply of health
20 
care services.
21 
Notwithstanding the foregoing, the President of the Philippines shall
22 
have the power to (i) declare moratorium on the payment of loans of
23 
MSME; (ii) make available emergency loans to MSME+ in critically-
24 
impacted businesses for additional capital outlay under this Section; and
25 
(iii) ease regulations to ensure that MSME+ have facilitated access to the
26 
loan facility provided herein.
21


1 
The amount of Fifty Billion Pesos (PhP 50,000,000,000.00) shall be
2 
appropriated as Special Interest Free Fund for the implementation of this
3 
Section. The fund shall be allocated to LBP and DBP in proportion to the
4 
current loan portfolio of the said banks at the time of effectivity of this
5 
Act.
6 
The DOF and the BSP shall jointly issue implementing rules and
7 
regulations and guidelines for this Section, within fifteen (15) days upon
8 
the effectivity of this Act.
9 
SEC. 18. Loan Guarantee by Philippine Guarantee Corporation. - To
10 
ensure that non-essential businesses are able to fulfill their loan
11 
obligations, whether existing, outstanding or new loans, to banks, lending
12 
or financing institutions, and to help strengthen the liquidity and financial
13 
position of these non-essential businesses towards expediting the
14 
country's economic recovery, the Philippine Guarantee Corporation (PGC)
15 
shall:
16 
a. 
Issue an expanded government guarantee program for non-
17 
essential businesses by increasing the maximum loan guarantee coverage
18 
per borrower, widening the coverage of guarantees to loans provided by
19 
non-bank financial institutions and lending and financing companies
20 
supervised by the SEC, reducing eligibility requirements and guarantee
21 
fees, waiving the right of excussion under the guarantee, relaxing the
22 
guidelines on claims by allowing lenders to call on the guarantee when
23 
there is an occurrence of payment default, and any other measures
24 
necessary to give non-essential businesses and MSME+ access to better
25 
terms of credit.
26 
b. 
Ease its current rules and regulations and give preference to
27 
critically impacted businesses and MSME+, including those in the informal
22


1 
sector, in issuing government guarantees to help achieve the policy
2 
objectives of this Act.
3 
c. 
PGC is mandated to implement a loan portfolio guarantee
4 
scheme whereby it can guarantee a specified loan portfolio of partner
5 
financial institutions which cover eligible MSME+ loans subject to the
6 
criteria set under the Implementing Rules and Regulations. The criteria
7 
for accrediting partner financial institutions shall likewise be stipulated
8 
therein.
9 
d. 
Regardless of the size of the business entity, PGC shall give
10 
preference to business entities requiring financing for an activity that
11 
supports initiatives of the DOH towards ensuring an adequate and
12 
responsive supply of health care services.
13 
For the efficient and faster implementation of the Section, PGC may
14 
require assistance, such as facilities and personnel resources, from other
15 
government financial institutions. PGC shall also implement measures
16 
aimed at the digital transformation of its guarantee application and
17 
enrollment process. PGC shall coordinate with the DICT, BSP, and solicit
18 
assistance from the private sector for the proper implementation of this
19 
Section.
20 
For the implementation of this Section, the amounts of Twenty
21 
Billion Pesos (PhP 20,000,000,000.00) is appropriated as PGC's Special
22 
Guarantee Fund and Twenty- Billion Pesos (PhP 20,000,000,000.00) is
23 
appropriated as additional paid up capital of PGC, for Fiscal Year 2020. An
24 
additional amount of Twenty Billion Pesos (Php 20,000,000,000.00) for
25 
the PGC's Special Guarantee Fund shall be appropriated for Fiscal Year
26 
2021.The PGC shall set up a sinking fund as a percentage of the total
27 
allocated amount to immediately cover losses from defaults.
23


1 
The DOF shall Issue the implementing rules and regulations for this
2 
Section, within (fifteen) (15) days from the effectivity of this Act with the
3 
end-in-view of achieving the policy objectives of this Act.
4 
CHAPTER V: Sectorai Interventions
5 
SEC. 19. Assistance to MSME+. - The DTI shaii provide technical
6 
assistance or offer grants for the education, training, and consuitancy
7 
services for MSME+ on:
8 
a. Innovation in business practices to inciude product research
9 
and development, digital transformation of business
10 
management, production, distribution, retail, and other business
11 
areas to ensure resilience to future disruptions inciuding managing the
12 
risk of cyber threats;
13 
b. 
Up-skiiiing and re-skiiiing of workers to adapt to the new
14 
nature of work;
15 
c. 
Market assistance for identification of new market trends to
16 
aiiow enterprises to pivot to high-value and high-necessity products,
17 
inciuding any activity that supports initiatives of the DOH towards
18 
ensuring an adequate and responsive suppiy of heaith care services;
19 
d. 
Utilizing oniine platforms as a means to facilitate product
20 
distribution or delivery channeis, inciuding website development, and the
21 
set-up of logistics to support oniine saies piatforms;
22 
e. 
The management and practice of teie-work, online
23 
consultancy, tele- consulting of professional services, and customer
24 
service, inciuding managing the risk of cyber threats; and
25 
f. 
Any other reievant business practices introduced for purposes
26 
of mitigating the economic effects of COVID-19.
24


1 
The DTI shall give preference to MSME+ that shall require
2 
assistance for any activity that supports the Ballk Probinsya, Bagong Pag-
3 
asa Program under EO 114 series of 2020.
4 
The amount of Ten Billion Pesos (PhplO,000,000,000.00) shall be
5 
appropriated for the implementation of this Section.
6 
The DTI shall issue the implementing rules and regulations of this
7 
Section within fifteen (15) days from the effectivity of this Act.
8 
SEC. 20. Assistance to the Tourism Industry. - The Department of
9 
Tourism (DOT) and its instrumentalities shall assist critically impacted
10 
businesses that are DOT-accredited tourism enterprises, in any of the
11 
following programs:
12
13
14
15
16
17
18
19
20 
21 
22
23
24
25
III.
IV.
V.
interest-free loans or issuance of loan guarantees with terms 
of up to five (5) years for maintenance and operating 
expenses;
credit facilities for upgrading, rehabilitation, or modernization 
of current establishments or facilities to be compliant with new 
health and safety standards;
marketing and product development promotions and 
programs;
grants for education, training, and advising for tourism 
stakeholder for new normal alternative livelihood programs; 
utilization of information technology for the improvement of 
tourism services, development of a tourist tracking system for 
emergency response, and establishment of spatial database 
to Improve planning capacity; and
25


1 
Vi. any other relevant programs, including infrastructure,
2 
necessary to mitigate the economic effects of COVID-19 on
3 
the tourism industry.
4 
For purposes of items (i) and (ii) herein, the DOT or any of its
5 
attached agencies and instrumentalities shall administer the loan or credit
6 
facility programs through government financial institutions such as the
7 
LBP and DBP: Provided, That the loan interventions implemented under
8 
this Section shall be exclusively for accredited tourism enterprises only.
9 
Availment of grants, loans or loan guarantees through other provisions of
10 
this Act does not disqualify any tourism enterprise from availing of any
11 
other form of economic relief measures in this Section.
12 
DOT shall also give preference to establishments requiring
13 
assistance for any activity that supports the (1) Balik Probinsya, Bagong
14 
Pag-asa Program under EO 114 series of 2020, and (2) initiatives of the
15 
DOH towards ensuring an adequate and responsive supply of health care
16 
services.
17 
The amount of Fifty-Eight Billion Pesos (Php58,000,000,000.00)
18 
shall be appropriated for the implementation of this Section.
19 
The DOT shall issue the implementing rules and regulations for this
20 
Section within fifteen (15) days after the effectivity of this Act.
21 
SEC. 21. Assistance to the Transportation Industry. - The
22 
Department of Transportation (DOTr) and such other agencies or
23 
instrumentalities that may be authorized under this Act and its
24 
implementing rules and regulations (IRR), shall extend the following
25 
assistance to critically impacted businesses in the transportation industry:
26 
a. 
Grant emergency credit lines for purposes of funding
27 
operations;
26


1 
b. Grant interest-free loans or long-term credit facility to allow
2 
the restructuring of existing debts and assist in rehabilitation;
3 
c. 
Provide credit guarantee schemes to guarantee bank loans
4 
and credit lines;
5 
d. 
Provide grants for applicable regulatory fees;
6 
e. 
Allow substitution of refund option to travel vouchers; and
7 
f. 
Provide grants for training, equipment, facilities, test kits and
8 
necessary personnel, on coping with increased health risks arising from
9 
infectious diseases.
10 
Within fifteen (15) days from the effectivity of this Act, the DOTr or
11 
any of its instrumentalities shall prescribe the eligibility requirements and
12 
other terms and conditions for any of the above-mentioned assistance,
13 
subject to the guidelines issued under this Section.
14 
For purposes of item (d) herein, the grants may include reductions
15 
in (i) rates through the removal of value-added tax (VAT) and local taxes
16 
as may be applicable, and (ii) fees and charges imposed by any regulatory
17 
agency and LGU. Such grants shall be payable, respectively, to the BIR,
18 
the relevant regulatory agencies and LGUs: Provided, That, the grant shall
19 
be chargeable against the fund created for the purpose of implementing
20 
this Section. Provided, further. That any critically impacted business may
21 
avail of the grant for a period of not more than six (6) months.
22 
For purposes of item (b) and (c) herein, the DOTr or any of its
23 
instrumentalities shall utilize the loan and/or loan guarantee programs and
24 
other loan related measures provided under this Act, subject to the rules,
25 
regulations and guidelines issued under the corresponding intervention:
26 
Provided, That, loan interventions implemented under this Section shall
27


1 
be exclusively for critically impacted business in the transportation
2 
industry only.
3 
Availment of any economic relief such as wage subsidy, loan, and
4 
loan guarantees and other relief under the other provisions of this Act,
5 
does not disqualify such critically impacted businesses belonging to the
6 
transportation industry from availing the economic relief provided under
7 
this Section.
8 
The DOTr shall give preference to business entities that shall
9 
require assistance for any activity that supports the Balik Probinsya,
10 
Bagong Pag-asa Program under EO 114 series of 2020.
11 
The amount of Seventy Billion Pesos (Php 70,000,000,000.00) shali
12 
be appropriated for the implementation of this Section.
13 
The DOTr shaii issue the implementing guideiines of this Section
14 
within fifteen (15) days after the effectivity of this Act.
15 
SEC. 22. Assistance to Industry and Service Sectors. - The DTI, its
16 
attached agencies, and the Board of Investments (BOI), shall offer grants
17 
and technical assistance to business entities engaged in the manufacture
18 
of products and supply services, the export thereof, and their respective
19 
supply chains, in order to meet the needs of the domestic market and
20 
export commitments, restore or expand to new global markets and market
21 
spaces, enhance competitive advantage, and for other purposes as may
22 
be determined by the DTI or the BOI.
23 
(a) For the manufacture or supply of critical and essential goods and
24 
services for the control of COVID-19 transmission, grants and other
25 
investment support shall be provided, including subsidized or soft
26 
loans, subsidy for loan guaranty, equity investments through the
28


1 
National Development Company, and preference for domestic
2 
sourcing as provided under this Act, for the following purposes:
3 
i. research and development, prototyping, testing and certification,
4 
and other necessary activities for developing local capability for
5 
the manufacture of COVID-19 critical and essential products and
6 
services; repurposing of manufacturing activities to produce the
7 
COVID-19 critical and essential products and services.
8 
For this purpose, COVID-19 critical and essential products
9 
include medicines, medical equipment and devices, personal
10 
protective equipment (PPE), surgical equipment and supplies,
11 
laboratory equipment and its reagents, medical supplies, tools,
12 
and consumables such as alcohol, sanitizers, tissue, hand soap,
13 
detergent, sodium hydrochloride, cleaning materials, povidone
14 
iodine, including the production or manufacture of raw materials,
15 
semi-finished/intermediate goods, and machinery and equipment
16 
for use in the production or manufacture of the said products.
17 
COVID-19 critical and essential services include
18 
crematoriums, health waste treatment and disposal, laboratories,
19 
test facilities, hospitals, and quarantine facilities.
20 
The above notwithstanding, subject to the determination by the
21 
BOI, this shall also cover programs and projects of National Government,
22 
any of its agencies or departments, or LGUs.
23 
(b) For exporters of goods, grants shall be provided on any activity with
24 
the purpose of market retention, identification, and expansion such
25 
as:
26 
i. participation in trade fairs, international business matching
27 
missions, conferences and other promotion events, physically or
29


1 
through digital means, to restore or identify new global markets for
2 
exports, or identify new products and services to be bought or sold
3 
in global markets; and
4 
ii. 
research and development for purposes of introducing new products
5 
and services, improving existing products and services, or any form
6 
of innovation in business processes, to increase competitive
7 
advantage in existing or new export markets;
8 
(c) 
For foreign companies and their support industries, subsidies shall
9 
be provided to support and facilitate the relocation to the Philippines
10 
by providing option to diversify risks and vary its range of products
11 
or field of operation, keep supply chain integrity, and access to
12 
market opportunities.
13 
(d) For BPOs, grants and other forms of assistance shall be provided in
14 
setting up facilities and equipment for the services sector including
15 
BPO workers and companies to mitigate the economic impact of the
16 
COVID-19 pandemic and for the workforce to continue to work from
17 
home and ensure their health and safety.
18 
(e) For critically-impacted manufacturing businesses, including those
19 
serving domestic and/or export markets, the following shall be
20 
provided:
21 
i. grant or subsidy;
22 
ii. education, training, and counseling; and
23 
iii. Interest-free loans with terms of up to five (5) years through
24 
loan programs and other loan related measures granted under
25 
this Act: ProvidedJhd^., availment of grants and loans or loan
26 
guarantees under other provisions of this Act does not
30


1
2
3
4
5
6
7
8 
9
10
11
12
13
14
15
16
17
18
19
20 
21 
22
23
24
25
26 
27
disqualify a business entity from availing of any other form of 
economic relief measures in this Section.
The support for education, training, and counseling shall include:
i. 
improving business resiliency;
ii. 
coping with global supply chain disruptions caused by COVID- 
19 and such other similar causes in the future, including 
changes in quantity and lead time, quality, and technology;
iii. 
use of online platforms as an alternative or supplementary 
means to facilitate product distribution channels and delivery of 
services;
iv. 
management and practice of tele-work, online consultancy, 
online professional services, freelancers, and customer service, 
including risk management of cyber threats; and other relevant 
new business models and business practices introduced for 
purposes of mitigating the economic effects of COVID-19 on trade 
relations.
The grant or subsidy shall cover the following: 
i. Innovation in business practices, such as product research 
and development, and digital transformation of business 
management, production, distribution retail, and other business 
areas, to ensure resilience to future disruptions including 
managing the risk of cyber threats;
ii. Upskilling and reskilling of workers; and
iii. 
Market assistance for identification of new market trends to 
allow enterprises to pivot to high-value and high-necessity 
products. For the interventions provided herein, priority shall be 
granted to business entities requiring assistance for any activity.
31


1
2
3
4
5
6
7
8 
9
10
11
12
13
14
15
16
17
18
19
20 
21 
22
23
24
25
26 
27
including new business investments and operations, that support 
initiatives of the DOH towards ensuring an adequate and 
responsive supply of health care products and services.
To ensure adequate and responsive supply of critical products and 
supplies, the government as the procuring entity shall give preference to 
the purchase of domestically-produced and manufactured goods, supplies 
and materials in the interest of availability, efficiency and timely delivery 
thereof: Provided, That the specified or desired quality and standards are 
complied with.
The DTI shall give preference to MSME+ that shall require for any 
activity that supports the BaUk Probinsya, Bagong Pag-asa Program under 
EO 114.
The amount of Forty-Four Billion Pesos (Php 44,000,000,000.00) 
shall be appropriated for the implementation of this Section.
The DTI and BOI shall issue the implementing rules and regulations 
for this Section within (fifteen) 15 days from the effectivity of this Act.
SEC. 23 Assistance to the Agri-Fishery Sector- The Department of 
Agriculture (DA) and such other agencies or instrumentalities that may be 
authorized under this Act and its implementing rules and regulations 
(IRR), shall extend the following assistance to entities in the Agri-Fishery 
industry:
i. Enhanced Plant, Plant, Plant Program to ensure food security, 
including, but not limited to. Rice Buffer stocking Program, Kadiwa 
niAniat Kita Program, Rice Resiliency Project, Integrated Livestock 
and Corn Resiliency Project, Expanded Small Ruminants and 
Poultry Project, Enhanced White Corn Production for Food 
Resiliency and Coconut-Based Diversification Project;
32


1
2
3
4
5
6
7
8 
9
10
11
12
13
14
15
16
17
18
19
20 
21 
22
23
24
25
26 
27
ii. Fishery Resiliency Program for sustainability of the sector thru, but 
not limited to, Urban Aqua-phonics Project, Enhanced Aquaculture 
and Sustainable Capture Fisheries in Inland Waters and Immediate 
Fish Production Support Program for the Rehabilitation and 
Restoration of Disrupted Fish Supply Chains in Luzon;
Hi.Urban Agriculture Project to establish a resilient food system and 
Revitalized Gulayan Project for enhanced production;
iv. Interest-free loans, issuance of loan guarantees, insurance 
coverage and other credit facilities thru, but not limited to, the 
Expanded SURE Aid and Recovery Project and Expanded 
Agricultural Insurance Project;
V. Sustained information, education and communication of products, 
product developments and programs;
vi. Social assistance to registered farmers and fishers whose income 
have been severely affected due to the ECQ;
vii. Food logistics and food markets interventions and improvements 
for Food to Fork related programs;
viii. Strengthening of price monitoring and enforcement systems;
ix. Marketing, multi-platform communication and information 
exchange to support DA programs, especially for the Plant, Plant, 
Plant Program;
X. Expansion of agri-extension support to the LGUs for the 
development and implementation of province-led agricultural and 
fisheries extension programs for every province;
xi. Data capture systems thru the Agricultural and Fisheries 
Commodity Exchange system to aggregate the product supply and 
demand;
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xii. Enhanced DA Quick Response and Service Continuity thru 
digitalization;
xiii. Digital Agriculture programs through the development of mobile 
and information systems-based monitoring, e-learning and, 
research and development;
xiv. Grants for education, training, and advising, including temporary 
employment programs, to agri-fishery workers and BatikProbinsya, 
Bagong Pag-asa participants; and
XV. Any other relevant programs, including infrastructure, necessary 
to mitigate the economic effects of COVID-19 on the agri-fishery 
industry and to ensure food security.
For the implementation of this Section, the DA or any of its 
attached agencies and instrumentalities shall administer the loan, loan 
guarantee or credit facility programs through government financial 
Institutions: Provided, that the loan interventions implemented under this 
Section shall be exclusively for the agri-fishery sector only.
Availment of grants, loans or loan guarantees through other 
provisions of this Act does not disqualify any agri-fishery enterprise from
19 availing of any other form of economic relief measures in this Section.
DA shall give preference to establishments requiring assistance for 
any activity that supports the Batik Probinsya, Bagong Pag-asa Program 
under EO 114 series of 2020.
The amount of Sixty-Six Billion Pesos (Php66,000,000,000.00) shall 
be appropriated for the implementation of this Section.
The DA shall Issue the implementing rules and regulations for this 
Section within fifteen (15) days after the effectivity of this Act.
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SEC. 24. Condonation of Loans of Agrarian Reform Beneficiaries for 
Land Acquisition under Government Land Redistribution Programs. - To 
provide agrarian reform beneficiaries the opportunity to enhance access 
to credit facilities after the disruption of the food supply chain by the 
Covid-19 pandemic, the payment of unpaid principal, interests, penalties, 
and surcharges of loans used for land acquisition to any and all 
government agencies and government owned corporations including LBP 
shall be condoned: Provided, that the condonation of unpaid principal, 
interests, penalties and surcharges from these loans shall be in conformity 
with the applicable general banking laws and regulations of the BSP: 
Provided, further. That the LBP shall issue the appropriate certification to
12 
the agrarian reform beneficiary, after the write-off of the principal, unpaid
13 
interest, penalties and surcharges condoned to facilitate reintegration into
14 
the financial and banking system: Provided, finally, that condonation as
15 
provided herein shall lift all liens and encumbrances attached to the land
16 
acquired.
17 
The Secretary of Finance and the Secretary of Agrarian Reform, in
18 
consultation with the LBP, shall issue the implementing rules and
19 
regulations for this Section.
20 
CHAPTER VI: Structural Interventions
21 
SEC. 25. Additional Mandate of the National Development
22 
Corporation. - To minimize permanent damage to the economy and
23 
enable faster recovery of certain critically-impacted businesses vital to the
24 
economy but have been severely and adversely affected by the COVID-
25 
19, the National Development Company (NDC) is hereby mandated and
26 
authorized to perform the following pursuant to and in accordance with
27 
its current charter:
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a. Identify critically-impacted businesses which are vital to the 
economy, such as those belonging to the transport industry and 
tourism industry, but excluding banks and financial institutions 
under the supervision of the BSP, that would otherwise have 
continued operations but are at risk of bankruptcy of insolvency 
due to COVID-19;
b. Extend loans and other forms of financial accommodation to, or 
make equity investments, directly or indirectly, in such identified 
critically impacted businesses;
c. Assume, in exchange for equity of the same value, the financial 
obligations of such identified critically impacted businesses;
d. Merge or consolidate the identified critically impacted businesses 
in consultation with the relevant regulators;
e. Evaluate the performance and ensure good corporate governance 
in the business entities where the NDC invested; and
f. Perform due diligence activities inherent in its nature as a capital 
allocation firm of the Government;
g. Perform such other functions as may be inherent or necessary to 
dispense of its role as a capital allocation firm from whom 
reasonable returns are expected;
h. Create a separate unit within its organization structure that will 
specifically handle and manage the investments, loan, and all 
other related activities undertaken under this Act; and
i. Exercise the foregoing additional functions and powers in case of 
national emergencies of similar nature and magnitude to the 
COVID-19.
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To implement this Section, the authorized capital stock of the NDC 
shall be increased by One Hundred Billion Pesos (Php 
100,000,000,000.00) and the amount of Twenty-Five Billion Pesos (Php 
25,000,000,000.00) is hereby appropriated for Fiscal Year 2020 for this 
purpose. An additional amount of Twenty-Five Billion Pesos (Php 
25,000,000,000.00) for the implementation of this Section shall be 
appropriated for Fiscal Year 2021.
SEC. 26. Enhanced "Build, Build, Build"Program- ks enhancements 
to the programmed infrastructure spending, there shall be "Build, Build, 
Build" projects in universal health care, education, and food security. In
11 
addition to the portfolio of the Presidential Adviser for Flagship Projects,
12 
the following projects shall be integrated in the National Expenditure 
Programs in FY 2021, 2022, and 2023:
(a) 
The construction and development of modern health facilities 
that will complement the Universal Health Care Law and 
national preparedness for surges in demand for pandemics;
(b) 
The construction and improvement of public-school facilities, 
and provision of efficient internet connectivity to all public 
schools and state universities and colleges, with the aim of 
creating "Schools for the Future," or schools geared towards 
competitiveness in the Fourth Industrial Revolution;
(c) 
The 
construction, 
improvement, 
and 
renovation 
of
infrastructure supportive of creative industries;
(d) 
The 
construction, 
improvement, 
and 
renovation 
of
infrastructure for the agri-fishery industry geared towards 
food security and agricultural resilience;
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(e) 
The construction and upgrading of transportation passenger 
ports and terminais inciuding reiated faciiities, such as, but not 
iimited to, airports, seaports, iand transport terminals and 
railway stations, in accordance to with social distancing and 
health standards, for the accelerated recovery of tourism and 
travel activities;
(f) 
The construction, improvement and renovation of police 
stations and military barracks to provide more facilities, 
spaces, and amenities complying with social distancing and 
health standards;
(g) 
The construction, improvement and renovation of prisons 
infrastructure to decongest existing jails and provide humane 
accommodations complying with social distancing and health 
standards for persons deprived of liberty (PDL);
(h) 
The construction, improvement and renovation of social 
housing projects and resettlement areas;
(i) 
The construction, improvement, and renovation of digital 
infrastructure to complement the national broadband plan, 
geared towards increasing internet access in unserved and 
underserved areas. For any public-private partnerships 
entered into for purposes of rolling out infrastructure under 
this Sub-Section, disbursement of payment shall be based on 
compliance with clear service targets, to be determined by the 
DICT; and
G) The construction, improvement and renovation of 
infrastructure supporting the objectives of EO No. 226 series 
of 1987, otherwise known as "The Omnibus Investments Code
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of the Philippines" as amended, including the relocation of 
manufacturing and service facilities from other countries to 
the Philippines.
For this purpose, the amount of Six Hundred and Fifty Billion Pesos 
(Php 650,000,000,000.00) shall be appropriated over three (3) years 
starting FY 2021, chargeable against funds sourced through any of the 
methods authorized under Chapter 8 of this Act: Provided, That the 
implementing agencies shall expedite settlement of accounts payables as 
of December 2019 and prioritize the payment for the outstanding progress 
billings/invoices of contractors with complete documentation or the partial 
release of payments to contractors based on submission of deliverables: 
Provided, further, That the COA and DBM shall streamline documentary 
requirements for processing payment across government: Provided, 
finally. That the DOF shall establish a project finance relief facility for the 
government financial institutions to monetize future receivables of the 
contractors.
Recognizing the high multiplier effects and labor intensity of 
infrastructure projects, implementing agencies shall prioritize the 
completion of all infrastructure projects in FY 2020 to pump prime the 
economy after the CQ.
SEC. 27. Coordination of Monetary and Fiscal Policies. - The BSP 
and the SEC are hereby encouraged to adopt measures, including the 
relaxation of regulatory and statutory restrictions and requirements for a 
period of not more than ten (10) years from their date of effectivity to 
encourage the banking industry and other financial institutions to extend 
loans and other forms of financial accommodation to help business
39


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recover from the economic effects of COVID-19 crisis and to enable the
2 
banking industry to manage appropriately its risks and potential losses.
3 
The BSP and the SEC are likewise hereby authorized to grant
4 
reporting relief to its supervised entities by allowing staggered booking of
5 
allowance for credit losses for all types of credit accommodations
6 
extended to individuals and business entities affected by COVID-19.
7 
Until a similar law is enacted, Republic Act No. 9182, as amended,
8 
otherwise known as "The Special Purpose Vehicle (SPV) Act of 2002", is
9 
hereby revived for a period of ten (10) years from the effectivity of this
10 
Act, subject to such extension as may be determined by the BSP if it
11 
deems necessary to solve the non-performing assets problem of the
12 
banking industry that may result from defaults occasioned by the COVID-
13 
19 pandemic.
14 
The SEC as the primary implementing agency for the SPV Act, upon
15 
request of, and with prior consultation with the BSP, shall issue
16 
amendatory or supplementary rules and regulations implementing the
17 
SPV Act, including modification, relaxation and/or suspension of
18 
restrictions and requirements covering periods, capitalization and other
19 
matters (excluding the tax incentives and fee privileges) under the SPV
20 
Act, to achieve its objectives and as well as of this law and which shall be
21 
effective for a period not exceeding ten (10) years from the effectivity of
22 
this Act or the effectivity of the new law, whichever comes first.
23 
CHAPTER VII: Other Socio-Economic Policy Measures
24 
SEC. 28. Socio-economic Policy Measures -Sooo-QQonomc policies
25 
that encourage the businesses, communities and individuals to positively
26 
respond to the economic effects of COVID-19 shall be pursued. These
27 
shall include, the following:
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(a) Batik Probinsya, Bagong Pag-asa Program
All relevant agencies and departments are mandated to promote 
and implement programs and policies for the immediate and 
effective implementation of EO 114 series of 2020, otherwise 
known as the Batik Probinsya, Bagong Pag-asa Program, in view 
of the objectives thereof, including (a) empowerment of local 
industries, (b) food security and agricultural productivity, (c) 
social welfare, health and employment, and (d) development of 
infrastructure.
(b) 
Trade:
i. 
All sector regulators with a price and fee regulation mandate 
shall review existing pricing and payment policies, including 
tariff rates, and issue temporary suspensions or revisions as 
needed, including export percentage requirements for 
purposes of aiding regulated businesses cope with economic 
losses arising from the COVID-19 pandemic.
ii. All relevant departments and agencies shall make it a policy 
to give preference to all local suppliers and contractors for all 
Public-Private Partnership projects, infrastructure projects, 
and all purchases for relevant provisions and supplies from 
their respective MOOE.
iii. All relevant departments and agencies shall review and 
implement policies and programs for logistics and supply 
chain management involving the planning, transporting and 
handling of goods, services and information from the point 
of origin to the point of consumption, most especially for 
locally produced agro-fishery products.
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(c) Technology
i. 
The Department of Science and Technology (DOST) and the 
Department of Information and Communications Technology 
(DICT) shall encourage the culture of innovation, through 
research and development, of business entities, especially in 
relation to the development of information technology-based 
systems for the health sector. The DTI, in coordination with 
DOST and DICT, shall review incentives and grants for 
business entities, educational institutions as well as 
individuals that develop COVID-19 or any pandemic-related 
information technology products or services.
ii. The DOST and the DICT shall support and promote scientific 
research, the development of innovative technologies, and 
data analytics to improve production efficiency and to inform 
government decision-making;
iii. The DOST and the DICT shall facilitate and encourage 
investments for the development of ICT infrastructure to 
serve as backbone of digital learning, telecommuting and 
low-contact business transactions.
iv. The DICT shall issue ruies and regulations that would facilitate 
the development of information and communication 
technology infrastructure and wiil, among others, provide 
open access approach in the regulation of data transmission 
services sector, and mandate the interconnection among data 
transmission participants to ensure efficient connectivity and 
low cost to consumers.The DICT, in coordination with the 
National Telecommunications Commission (NTC), shall review
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the capacity of telecommunications and internet service 
providers and encourage improvement of digital and 
network infrastructure to ensure better access to, and 
affordability of, telecommunications and internet services.
(d) 
Health:
i. 
All departments and their respective attached agencies, in 
coordination with the DOH and in consultation with the 
private sector, shall formulate and implement protocols and 
guidelines to mitigate transmission of COVID 19 and any 
other infectious diseases in the industries and sectors they 
respectively regulate and supervise.
ii. All departments and their respective attached agencies shall 
formulate plans, programs and policies with the objective to 
endeavor national self-sufficiency in the supply of health- 
related goods and services, especially COVID-19 and any 
other infectious disease related medical supplies and 
equipment.
(e) 
Agriculture:
i. 
The Department of Agriculture (DA) shall facilitate the 
systematic production and exchange of goods and services 
in agricultural supply chains through institutional support 
services and logistics-based solutions to strengthen market 
linkages and minimize transaction costs.
ii. The DA shall ensure the full implementation of its existing 
programs in agricultural modernization, including the 
enhancement of farm mechanization, adoption of new
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(0
technologies to improve farm productivity, and the efficient 
and sustainable use of farm resources.
iii. The DA shall also expand its existing program on urban 
agriculture. The DA shall identify and develop idle 
government and/or private lands and open spaces, without 
prejudice to the rights of owners of private lands, for full or 
partial conversion to community gardens or vertical farms, 
utilizing geoponic, hydroponic or aeroponic growing 
methods.
iv. The DA shall provide the necessary technical assistance and 
support services, including, but not limited to, provision of 
seeds and seedlings, and gardening tools, access to loans 
from government financial institutions, and agricultural 
training, to ensure the full productivity of community gardens 
and vertical farms.
Regulatory:
i. 
The DTI, in consultation with the ARTA and LGUs, shall 
review existing policies and recommend the removal or 
revision of rules and regulations that do not support the goal 
of business continuity post COVID-19. Any measures adopted 
under this Section shall be evaluated every six (6) months 
after the effectivity of this Act.
ii. All relevant departments and agencies, including LGUs, shall 
implement programs and policies for the digitalization and 
automation of all transactions, including payments to and 
from the government. All relevant departments and agencies, 
including LGUs shall promote financial inclusion of individuals
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and entities, especially beneficiaries of government
2 
amelioration programs and beneficiaries of the interventions
3 
in this Act. These shall include access to appropriate,
4 
affordable and timely financial products and services, such
5 
as, but not limited to, banking, loan, equity and insurance
6 
products.
7 
CHAPTER VIII: Reporting and Monitoring
8 
SEC. 29. Long-term Plan for Economic Resilience. - The NEDA shall
9 
submit to Congress a long-term plan for building economic resilience, not
10 
later than six (6) months after the lifting of the CQ. The Economic
11 
Resilience Plan (ERP) shall include a strategy for measuring and
12 
monitoring economic resilience and identification of structural reforms
13 
needed to increase the ability of the economy to withstand shocks such
14 
as the COVID-19 pandemic. The ERP shall Include the following:
15 
(a) The required investments in the health care sector in the next ten
16 
(10) years to ensure its ability to respond to the health care
17 
needs of the population, including emerging infectious diseases
18 
similar to COVID-19;
19 
(b) The required investment in digital Infrastructure to
20 
improve connectivity and access to digital technology to enable
21 
Philippine businesses and households to cope with crisis and
22 
shocks; and
23 
(c) The required database to ensure the responsiveness of social
24 
protection programs of the government for vulnerable and
25 
displaced households during period of external shocks such as
26 
the outbreak of COVID-19.
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SEC. 30. Economic Stimulus Board-Jhe Economic Stimulus Board
2 
(ESB) is hereby established to identify the components of the fiscal
3 
stimulus package, and the specific government programs of the
4 
implementing agency for the delivery of each intervention. The
5 
chairperson of ESB shall be the NEDA Secretary and shall be composed of
6 
representatives from DOF, DBM, DOLE, DILG, SSS, GSIS, LBP, DBP, DTI,
7 
SBCorp, PGC, BOI, DA, DOT, BSP, and the Department of Public Works
8 
and Highways (DPWH). The Chairperson of the ESB may designate
9 
additional members as may be deemed necessary for the proper
10 
implementation of this Act. The President of the Philippines may appoint
11 
representatives from the private sector as members of the ESB.
12 
The ESB shall create a registry of assisted businesses, a centralized
13 
database which all members of the ESB can access with ease, for purposes
14 
of monitoring the availment of various forms of assistance authorized by
15 
this Act, to ensure that the total amount of assistance received by any
16 
single business entity is rational and proportionate to the scale of
17 
response required to retain its workforce and maintain its payroll costs.
18 
The ESB shall have the authority to coordinate and transact with,
19 
and avail of, the services of private entities that could provide technical
20 
assistance or digital infrastructure necessary for ESB to perform its
21 
functions and implement the economic relief granted under this Act.
22 
SEC. 31. Functions of ESB. - The ESB shall perform the following
23 
functions and powers:
24 
a. Evaluate the costs and benefits of programs and projects provided
25 
for in this Act, and recommend their modification, if necessary;
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b. Study and recommend programs and projects that the government
2 
may undertake to complement the implementation of programs
3 
and projects provided for in this Act;
4 
c. Oversee and spearhead the preparation of reports mandated under
5 
this Act;
6 
d. Recommend to Congress remedial legislation to expeditiously and
7 
efficiently implement the programs and projects allowed or
8 
provided for in this Act; and
9 
e. Perform such other functions inherent in its role as the coordinating
10 
council for all programs and projects provided for in this Act and
11 
as may be delegated by the President of the Philippines.
12 
SEC. 32. Monitoring of Implementation and Congressional
13 
Oversight. - A Joint Congressional Oversight Committee on Economic
14 
Stimulus Program is hereby created. The Oversight Committee shall be
15 
composed of the Co-Chairpersons of the Sub-Committee on Economic
16 
Stimulus Response Package Cluster of the Defeat COVID-19 Committee
17 
on the part of the House of Representatives and the respective
18 
Chairpersons of the Committees on Economic Affairs, Ways and Means,
19 
and Finance of the Senate. An additional member from the majority and
20 
the minority shall be respectively designated by the Senate President and
21 
the Speaker of the House of Representatives.
22 
The Joint Congressional Oversight Committee on Economic
23 
Stimulus Program shall be tasked to monitor the implementation of the
24 
economic stimulus response package and recommend remedial
25 
legislation, if necessary.
26 
The ESB shall continue to estimate and monitor the impact of
27 
COVID-19 on the economy. In order to ensure the proper use of funds.
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the ESB shall submit a monthly report to Congress of all acts performed 
pursuant to this Act.
The NEDA and the implementing departments shali submit, either 
in printed form or by way of eiectronic document, to the Oversight 
Committee, House Committee on Appropriations, the Senate Committee 
on Finance and the Commission on Audit, the quarterly accountability 
reports on the utilization of funds. The NEDA shaii be responsibie for 
ensuring that the said quarteriy reports are likewise posted on the official 
website of the NEDA and the implementing agencies.
Releases from the appropriations made herein shaii be subject to
11 
the submission of a special budget pursuant to Section 35, Chapter 5,
12 
Book VI of Executive Order No. 292, series of 1987.
13 
CHAPTER IX: FUNDING
14 
SEC. 33. Special Power to Reallocate and Realign Appropriations.
15 
- Notwithstanding any iaw or provision thereof to the contrary, to finance
16 
the requirements of this Act, the President of the Philippines is hereby
17 
authorized to realiocate and realign any appropriation as foiiows:
18 
1. From programs, projects, and activities which cannot be utiiized
19 
effectively as a result of the COVID 19 outbreak under Republic Act
20 
No. 11260 or the General Appropriations Act of 2019 and Republic
21 
Act No. 11465 or the General Appropriations Act of 2020;
22 
2. From programs, projects, and activities as identified by the DBM
23 
which cannot be utilized effectively as a result of the COVID 19
24 
outbreak. Including items such as discretionary travei,
25 
representation and training expenses, and declare allotments for
26 
such items as forced savings. The DBM shaii make a detailed report
27 
to the President and Congress on forced savings arising from
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COVID-19, not later than two (2) weeks after the enactment of this 
Act;
3. From infrastructure projects in the Executive Department, including 
those implemented by the government-owned or -controlled 
corporations (GOCCs), as identified by the ESB for which funds had 
been appropriated but remain unobligated under RA No. 11260 and 
RA No. 11465 and other speciai iaws, and utilize any savings 
generated therefrom to fund and/or augment the allocation for any 
item mandated under this Act. These infrastructure projects can be 
implemented under Republic Act No. 6957, as amended, otherwise 
known as the "BOT Law" under the Public-Private Partnership (PPP) 
projects of the government.
Subject to appiicable constitutional restrictions, the President 
of the Philippines, upon recommendation of the ESB, is authorized 
to reiax, modify and/ or suspend restrictions, requirements and 
other matters under the BOT Law and such other laws governing 
PPP projects for a period of not more than ten (10) years from the 
date of their effectivity; and
4. From cash, funds, and investments held by any GOCC or any 
national government agency.
Any law that reserves or earmarks any fund or collection by 
any national government agency or GOCC is hereby expressly 
superseded by the foregoing authorization, and the President of the 
Philippines shail have authority and discretion to reailocate and 
realign such fund or collection for whatever purpose the President 
may deem necessary, beneficial, or desirable in order to address
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the public health emergency as declared in Proclamation No. 929 
series 2020.
This authority shall be valid for six (6) months: Provided, 
however, That the President shall submit a quarterly report on the 
reallocation to Congress.
SEC. 34 Financing. - The Secretary of Finance is authorized to direct 
the Treasurer of the Philippines to borrow, in the name and on behalf of 
the Republic of the Philippines, such amounts and in such form including 
bonds, loans and other evidence of indebtedness to finance programs 
provided herein.
The borrowings shall be incurred in such amounts as will be needed 
at any one time, taking into account the following:
a) rate at which said borrowings may be absorbed by the buying 
public;
b) the fund requirements of projects ready for execution, and
c) the balance between productive and non-productive projects to 
hold inflation at the minimum.
For domestic borrowings, the Secretary of Finance shall prescribe 
the form, the rate of interest, the denomination, maturity, negotiability, 
convertibility, call and redemption features, and all other terms and 
conditions governing the issuance, placement, sale, servicing, 
redemption, and payment of bonds issued under the authority of this Act. 
Provided, that consultation with the BSP will be made on the probable 
effects of the proposed operation on monetary aggregates, price level 
and/or balance of payments which shall be deemed in compliance with 
the requirement under Section 123 of Republic Act No. 7653, as amended 
by Republic Act No. 11211.
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For foreign borrowings, the requirements under the Phiiippine
2 
Constitution and appiicabie iaws shaii be compiied with.
3 
Bonds issued pursuant to this section as weii as equity and quasi-
4 
equity investments made, directiy or indirectiy, by banks in the agri-
5 
fishery enterprises shall be eligible for purposes of meeting banks'
6 
statutory reserve requirements as well as Agri-Agra Reform Credit Act (RA
7 
10000) compliance for a period of ten (10) years.
8 
The principal and interest of the bonds issued under the authority
9 
of this Section may be made payable in Philippine currency or any readily
10 
convertible foreign currency. The Secretary of Finance shall cause to be
11 
paid out of any moneys in the National Treasury not otherwise
12 
appropriated, or from any sinking funds provided for the purpose by law,
13 
any interest falling due, or accruing, on any portion of the public debt
14 
authorized by law. He shall also cause to be paid out of any such money,
15 
or from any such sinking funds the principal amount of any obligations
16 
which have matured, or which have been called for redemption or for
17 
which redemption has been demanded in accordance with terms
18 
prescribed by him prior to date of issue: Provided, however. That he
19 
may, if he so chooses and if the holder is willing, exchange any such
20 
obligation with any other direct or guaranteed obligation or obligations of
21 
the Philippine Government of equivalent value.
22 
The Secretary of Finance is also authorized to access such other
23 
financing facilities with rates comparable to or more favorable than
24 
prevailing market rates, as may be necessary.
25 
Likewise, government financial institutions and other government-
26 
owned or controlled corporations are hereby authorized to issue bonds
27 
under such terms and conditions as they may determine in their sound
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1 
discretion to enable them help finance the programs provided herein, and
2 
subject to approval by the Secretary of Finance.
3 
SEC. 35. Use and Release of Funds. - The amounts appropriated
4 
herein shall be used exclusively for the purposes specified under the
5 
preceding Sections. Releases shall be made by the DBM directly to the
6 
appropriate implementing departments and agencies.
7 
The appropriations authorized in this Act shall be subject to the
8 
conditions under Section 60 of the General Provisions of RA No. 11465.
9 
SEC. 36. Availability of Appropriations. - The appropriations
10 
authorized in this Act shall be available for release and obligation for the
11 
purposes herein specified until December 31, 2021, unless otherwise
12 
stated.
13 
CHAPTER X: Final Provisions
14 
SEC. 37. Implementing Rules and Regulations. - Unless otherwise
15 
indicated, the implementing rules and regulations necessary for this Act
16 
shall be Issued by the President of the Philippines within fifteen (15) days
17 
upon the effectivity of this Act.
18 
SEC. 38. Separability Clause. - If, for any reason or reasons, any
19 
part or provision of this Act shall be declared as unconstitutional or invalid,
20 
the other parts or provisions hereof which are not affected thereby shall
21 
continue to be in full force and effect.
22 
SEC. 39. Repealing Clause. - All provisions of existing laws, orders,
23 
rules and regulations or parts thereof which are in conflict or inconsistent
24 
with the provisions of this Act are hereby repealed, amended or modified
25 
accordingly.
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1
2
3
4
SEC. 40. Effectivity. - This Act shall take effect immediately upon 
its publication in the Official Gazette or in a newspaper of general 
circulation in the Philippines.
Approved,
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