EIGHTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session
)
S E N A T E
801
o( tl)e fercrctaip
*19 JUL 29 All 20
S. No.
RECEiVlO ii;.
Introduced by SENATOR RAMON BONG REVILLA, JR.
AN ACT
ESTABLISHING 
A 
CREDIT ASSISTANCE 
PROGRAM 
FOR 
OVERSEAS 
FILIPINO WORKERS
EXPLANATORY NOTE
An Overseas Filipino Worker (OFW) is a person of Filipino origin who lives 
and works outside the Philippines. As of 2018, there are approximately 2.3 million 
Overseas Filipino Workers according to the latest survey done by the Philippine 
Statistic Authority1. According to the same data from the survey made by the Philippine 
Statistic Authority, the total remittance sent by OFWs during April to September 2018 
was estimated at 235.9 billion pesos. These remittances included cash sent home 
(169.4 billion pesos), cash brought home (55.2 billion pesos) and remittances in kind 
(11.2 billion pesos).
Considering the sacrifices our OFWs have to endure as well as the 
contributions they bring to the economy, it is the duty of the State to provide 
assistance and care to them.
This bill, therefore, seeks to create a create a credit assistance program for 
our modern day heroes. Under this bill, a prospective OFW who has a valid contract 
as certified by the Philippine Overseas Employment Administration (POEA) may avail 
of a fifty thousand peso (P50,000) loan from the Overseas Worker Welfare
1 Results from  the 2018 Survey on Overseas Filipinos, Retrieved from  
" https://psa.gov.ph/statistics/surveY/labor-and-employment/survey-overseas-filipinos"


Administration (OWWA) to defray the living expenses of his family during the first few 
months of his absence as well as other expenses incurred during pre-employment.
In view of the foregoing, the urgent approval of this bill is earnestly sought.
lON^BuNG
RAMO^BONG REVILLA, JR.


EIGHTEENTH CONGRESS OF THE 
)
REPUBLIC OF THE PHILIPPINES 
)
First Regular Session 
)
S E N A T E
S. No. 801
of tijt’
■19 Jil 29 All 20
RECEIV'IO Ir'.
Introduced by SENATOR RAMON BONG REVILLA, JR.
AN ACT
ESTABLISHING 
A 
CREDIT ASSISTANCE 
PROGRAM 
FOR 
OVERSEAS 
FILIPINO WORKERS
Be it enacted by the Senate and House o f Representatives o f the Philippines in 
Congress assembled:
1 
Section 1. Short Title. -  This Act shall be known as the "Overseas Filipino
2 
Workers Credit Assistance Act of 2019."
3 
Sec. 2. Declaration o f Policy. -  Consistent with the State policy that the State
4 
affirms labor as a primary economic force and that it shall protect the rights of workers
5 
and promote their welfare, it is hereby declared that the government and its
6 
instrumentalities must promote and carry out programs geared towards advancing the
7 
interest of the Overseas Filipino Workers (OFWs) by providing them access to credit
8 
facilities even before their departure.
9 
Sec. 3. Loans. -  An overseas contract worker with a valid employment contract
10 
as certified by the Philippine Overseas Employment Administration (POEA) may avail
11 
of a loan of not more than Fifty Thousand Pesos (P50,000.00) from the Overseas
12 
Worker and Welfare Administration (OWWA) to defray the living expenses of his family
13 
during the first three months of absence as well as recruitment expenses including
14 
placement fees, documentation costs and plane. Tickets. Provided, that any one of
15 
the member of his family not otherwise disqualified by law shall participate in the loan
16 
as co-borrower, and execute necessary documentation to that effect. Provided, further
17 
that the loan shall be granted. And released by the OWWA upon proper submission of


18 
the following documents, duly certified to in writing by the recruitment agency with
19 
corresponding authentication and properly certified/verified by the POEA.
20 
3.1 Employment Contract
21 
3.2 Plane ticket; and
22 
3.3 Bank account
23 
Sec. 4. Establishment o f Bank Account -  Overseas workers availing of the
24 
credit assistance under this Act shall open a bank account in which payments for the
25 
loan shall be made.
26 
Sec. 5. Payment o f Loan. -  The loan shall be paid in twelve (12) equal monthly
27 
installments or more but no exceeding twenty four (24) months at a preferred interest
28 
rate not to exceed six percent (6%) per annum through the bank account to be
29 
established under the immediately preceding Section. For the purpose, the applicant
30 
shall execute the necessary authority for the bank. To withhold the monthly loan
31 
amortization from his remittances.
32 
Sec. 6. Implementing Rules. -T h e  OWWA, in consultation with organized labor
33 
groups and the relevant sectors, shall issue rules. And regulations for the effective
34 
implementation of this Act. The IRR shall include provisions that will address
35 
nonpayment of loans provided by this Act and the corresponding penalties that may
36 
be imposed, collection and administration of loans, and other issues of significance
37 
relevant to this Act.
38 
Sec. 7. Appropriation. -  The amount needed to implement the provisions of this
39 
Act shall be appropriated out of the Overseas Workers Welfare Fund.
40 
Sec. 8. Repealing Clause. -  Any other provisions of law or rules and regulations
41 
inconsistent to the provisions of this Act are hereby repealed, amended or modified
42 
accordingly.
43 
Sec. 9. E f f e c t i v i t y A c t  shall take effect fifteen (15 days after its complete
44 
publication in the Official Gazette or in at least two (2) newspapers general circulation,
45 
whichever comes earlier.
46
47 
Approved,