Guide on OWWA Business Loan for OFWs — How Much You May Borrow
OWWA BUSINESS LOAN FOR OFWS – Here are the ranges of minimum and maximum loanable amounts under the OFW-EDLP offer.
Undeniably, Filipino is one of the races that can be found in almost all countries across the globe. It is mainly because a lot of Pinoys are working abroad in the pursuit to give their family and loved ones a comfortable life.
Truth be told that the high prices of goods and commodities in the country make the budget of many households not enough. Thus, despite the desire to always be with their family and loved ones, a lot of Filipinos took the risk to fly to other countries to work there for higher compensations.
Meanwhile, while OFWs are considered heroes of the country, the Overseas Workers Welfare Administration wants to help Pinoys working abroad to grow a business that can give them a choice to stay with their family someday.
OWWA launched the Overseas Filipino Workers – Enterprise Development and Loan Program or the OFW-EDLP in line with its goal to help the OFWs. This OWWA Business Loan for OFWs is open for the following:
- Construction/rental business
- Franchising business
- Service/trading business
- Contract tie-up with top 1000 corporations
- Transport service
- Agri- and non-agri production/manufacturing with identified market linkage and raw material sources
- Any viable project whether existing or new, that should generate a net cash flow sufficient to pay the projected amortization of the loan (or resulting into debt service ratio of at least 1)
Who may apply for the OFW-EDLP? Here are the qualifications set by OWWA under its loan offer for Pinoys working abroad who want to do businesses in the country:
- certified OWWA Member, active or non-active
- has completed the Enhanced Entrepreneurial Development Training (EEDT)
- if the OFW is singe, a widow or widower, or separated-in-fact, he/she may be represented by his/her parents who are not more than 60 years old upon the maturity of the loan or children who are at least 18 years old at the time of the loan application
- if the OFW-loan applicant is about to leave the country or is currently in abroad, he/she may represented by his/her spouse
With regards to the OWWA Business Loan for OFWs loanable amounts, it depends whether the borrower is a single proprietorship or a group of borrowers. For solo borrowers, here are the minimum and maximum loanable amounts:
- Minimum Loanable Amount — Php 100,000.00
- Maximum Loanable Amount — Php 2,000,000.00
For group of borrowers like cooperatives, partnerships, or corporations, here are the minimum and maximum loanable amounts under the OWWA Business Loan for OFWs:
- Minimum Loanable Amount — Php 100,000.00
- Maximum Loanable Amount — Php 5,000,000.00
To apply, there are OWWA Business Loan requirements that OFWs must submit. All loan applications are subject to the approval of OWWA.
