House panel approves three bills, including P1.3 trillion stimulus package

May 26, 2020

The Defeat COVID-19 Committee on Tuesday approved three bills, including a P1.3 trillion economic stimulus measure until 2023 to restart the economy and protect the people, especially medical frontliners from discrimination due to coronavirus disease-19 (COVID-19).

“These measures are not the panacea to all our problems. But these pieces of legislation may be considered as the next step in our calibrated response to ease the suffering of our people,” said House Majority Leader and Leyte Rep. Martin Romualdez in a virtual hearing via Zoom.

“But we all know that these dole-outs are not forever. We have to jumpstart our economic activities, while keeping our people healthy the soonest time possible to ensure our survival as a nation,” said Romualdez.

Upon the motion of Lanao del Norte Rep. Khalid Dimaporo, the DCC approved the report of the Economic Stimulus Response Package Subcommittee co-chaired by Albay Rep. Joey Sarte Salceda, Marikina City Rep. Stella Quimbo and AAMBIS-OWA party-list Rep. Sharon Garin on the economic stimulus.

Garin said the Philippine Economic Stimulus Act (PESA) or the P1.3 trillion economic stimulus’ measure will be implemented in the coming years.

The economic stimulus program is meant to ensure business operations and jobs’ retention in this time of COVID-19 pandemic.

An estimated 4.1 million employees from the Micro, Small, and Medium Enterprises (MSMEs) are expected to benefit under the economic stimulus package by rescuing their troubled companies.

The report of House committee on banks and financial intermediaries chairman and Quirino Rep. Junie Cua Jr. on the proposed “Financial Institutions Strategic Transfer (FIST) Law was also approved by the DCC through the motion of House Deputy Majority Leader and Pampanga Rep. Rimpy Bondoc.

“The FIST measure seeks to strengthen the financial sector in the wake of the COVID-19 crisis through rehabilitation of distressed businesses and improving liquidity of the financial system,” said Romualdez.

The measure seeks to help financial institutions in their bad debt resolution and management of their non-performing assets (NPAs).

Most financial Institutions are facing a period of delayed loan collections and are at risk of recording higher NPAs across all borrower segments.

The DCC, through the motion of Deputy Majority Leader and Pampanga Rep. Juan Miguel Arroyo also endorsed for plenary approval the report of the Peace and Order cluster. co-chaired by Iloilo Rep. Raul Tupas, Masbate Rep. Narciso Bravo, Jr. and Quezon City Rep. Jesus Suntay, Jr. on the Anti-Discrimination Bill principally sponsored by Quezon City Rep. Jose Christopher Belmonte. DMS