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FOURTEENTH CONGRESS OF THE 
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First Regular Session 
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REPUBLIC OF THE PHILIPPINES 
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SENATE 
S. B. No. -7 
Introduced by SENATOR EDGARDO J. ANGARA 
EXPLANATORY NOTE 
The 1987 Constitution recognizes the significant role that senior citizens 
play in society. It reaffirms the duty of the family to provide care and support for 
their older persons. 
In furtherance of this constitutional recognition, I have authored the 
Senior Citizens’ Law of 1992 and the Expanded Senior Citizens Act of 2003. 
These laws grant twenty percent (20%) discount to senior citizens when 
purchasing goods and services, medical and dental services, transport fare, 
funeral and burial services, among others. 
However, the grants and privileges under the two laws are insufficient to 
ensure better twilight days for the senior citizens because of the lack resources. 
The enjoyment of discount privileges is not maximized since they cannot afford 
the services covered by the previously mentioned laws. 
The challenge then is for the government to provide financial assistance to 
the needy senior citizens. 
The idea is not new. Twelve Asian governments have introduced social 
assistance through regular cash transfers. A few schemes offer universal 
coverage, while others are directly targeted at poverty alleviation. Some involve 
millions of people, as in India, while others reach much smaller populations. The 
design is to provide a regular income and guarantee income security, social 
protection and poverty prevention by giving sufficient minimum income for the 
elderly, paying particular attention to socially and economically disadvantaged 
groups. 
Financial assistance may appear costly for the government. Nevertheless, 
a large number of countries both in Asia and around the world have amply 
demonstrated that there is a positive impact of cash transfers in the reduction of 
poverty as well as social and economic development. A recent UN sponsored 
seminar in Bangkok concluded that social pensions are an affordable and cost 
effective way of delivering social protection to the elderly. 
This bill seeks to extend the same benefits and provide social protection 
for the poorest among senior citizens. 
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Let us be cognizant: of the fact that they contribute substantially to both 
family and society and that it is our duty to continue our tradition to support 
them in them in their twilight days. 
EDGARDO .ANGA A 
Senator 
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FOURTEENTH CONGRESS OF THE 
1 
First Regular Session 
1 
REPUBLIC OF THE PHILIPPINES 
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7 acr -I 
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SENATE 
Introduced by SENATOR EDGARDO J. ANCARA 
AN ACT TO ENCOURAGE SOCIAL AND ECONOMIC DEVELOPMENT 
THROUGH MONTHLY FINANCIAL ASSISTANCE TO THE NEEDY 
SENIOR CITIZENS, APPROPRIATING FUNDS THEREFORE AND FOR 
OTHER PURPOSES. 
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled: 
SECTION 1. Title. - This Act shall be known as the "Needy Senior Citizens 
Financial Assistance Act." 
SECTION 2. Declaration of PoZicy. - The Philippines, as a signatory of 
the Second World Assembly on Ageing of 2002 fully supports its income security, 
social security and poverty alleviation program which provides that: 
Sufficient minimum income for all older persons, paying particular attention to 
socially and economically disadvantaged groups. (Objective 2 #52) 
SECTION 3. Definition of Terns. - For purposes of this Act, the following 
terms shall have the following significance as used in this Act: 
(a) "Applicant" - means a person who has applied for a benefit under 
this Act; 
(b) "Guarantor" - shall refer to any government-accredited senior 
citizens organization that issues a certification of guarantee to any 
senior citizen who wishes to avail of the business loan benefits of this 
Act. 
(c) 
MSWD - means Municipal Social Welfare and Development. 
(d) "Needy Senior Citizen" - as used in this Act, shall refer to any senior 
citizen without adequate resources to survive as determined by the 
Department of Social Welfare and Development (DSWD). 
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(e) ”Senior Citizen”- shall refer to any person defined in Section 3 of RA 
7876 or the Senior Citizens Act. 
”Beneficiary” - means a senior citizen whose application for a 
monthly financial assistance has been approved. 
(f) 
SECTION 4. Establishment of Monthly Financial Assistance. - The 
government shall provide monthly social assistance to financially disadvantaged 
senior citizen. Qualified senior citizen shall be issued a special Identification 
Card entitling them to the amount of One Thousand Five Hundred Pesos (PhP 1, 
500.00) monthly. 
SECTION 5. Eligibility to Avail of the Monthly Allowance. - All 
financially disadvantaged senior citizens may avail of the monthly allowance 
provided they have the following qualifications: 
(a) Filipino citizen; 
(b) At least sixty (60) years of age; 
(c) Must be unemployed and without adequate means for survival; 
(d) Must be within the poverty threshold as determined by the DSWD; 
and 
(e) A holder of special ID issued by the appropriate government agency. 
SECTION 6. 
Business Loan Grants. - The government assistance 
extended by this Act to the senior citizens shall also include loan grants to the 
amount of Fifteen Thousand Pesos (PhP 15,000.00). The amount of loan may be 
extended to any qualified senior citizen, as provided for in Section 5 of this Act, 
who shall engage in any income generating activity: Provided however, that the 
applicant shall present a medical certificate showing that he / she has no serious 
illness. The medical certificate should be issued by a government-accredited 
medical clinic within thirty (30) days prior to the application: Provided further, 
that the applicant shall submit a certification of guarantee of loan by any 
government-accredited senior citizens’ organization. 
Application for loan under this Section shall be filed with the DSWD. 
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SECTION 7. Loan Obligation and Mode of Repayment. - Business Loan 
grants shall be of zero percent (0%) interest and without collateral. Repayment 
shall be on weekly staggered basis. 
SECTION 8. Mechanics. - Distribution system adequate to meet the 
exigencies of every locality shall be devised by the DSWD in collaboration with 
the MSWDs. 
SECTION 9. Appropriation. - The amount necessary to implement the 
provisions of this Act shall be included in the General Appropriations Act of the 
year following the approval of this Act. 
SECTION 10. Implementing Rules and Regulation. Within ninety (90) 
days from the effectivity of this Act, the Department of Social Welfare and 
Development, after due consultations, shall promulgate the necessary rules and 
regulations for the implementation of this Act. 
SECTION 11. Repealing Clause. All laws, executive orders, presidential 
decrees, proclamations, issuances, rules, and regulations or parts thereof 
inconsistent with the provisions of this Act are hereby repealed or modified 
accordingly. 
SECTION 12. Effectivity. This Act shall take effect after fifteen (15) days 
following its full publication in the Official Gazette or in two (2) newspapers of 
general circulation, whichever comes first. 
Approved, 
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