Preferential Credit Facilities.
SEC. 11. Preferential Credit Facilities. —The
Central Bank in the performance of its rediscounting function is required to use
the Agricultural Investment Priorities Plan as basis for their credit allocation
policies. The Central Bank shall ensure that credit allocations for agriculture
and agriculture related activities shall be strictly complied with and no
alternative investments in complicance with said requirement shall be allowed as
provided for in P.D. 717.
Preferential Interest Rates.
SEC. 12. Preferential Interest Rates. —In setting
interest rates, the Central Bank is required to use the Agricultural Investment
Priorities Plan as the basis for any preferential interest rate structure.
Priority in" Project Financing.
SEC. 13. Priority in" Project Financing.—Government
financing institutions shall give priority in project financing to agricultural
producers in accordance with the AIPP.
Agricultural Insurance.
SEC. 14. Agricultural Insurance.—To minimize the
risk of producers, the Government shall study the possibility of expanding crop
insurance coverage to other types of agricultural commodities in addition to
rice and corn which, if found feasible, shall be implemented on a voluntary
basis. Meanwhile, the Government shall assist the Philippine Crop Insurance
Corporation (PGIC), whenever necessary, in the effective implementation of its
insurance program for rice and corn.
