The Land Bank of the Philippines (LANDBANK) renewed its commitment to the Department of Transportation (DOTr) to fully support programs that provide a more efficient, convenient, and modern public transportation for Filipino commuters.
During a courtesy visit on 02 September 2022, LANDBANK President and CEO Cecilia C. Borromeo met with DOTr Secretary Jaime J. Bautista to discuss ongoing and potential collaboration programs and initiatives to advance the country’s transport sector.
The LANDBANK and DOTr are partners for the Automated Fare Collection System (AFCS) Pilot Production Testing (PPT), which allows the convenient use of EMV contactless credit, debit and prepaid bank cards as cashless payment instruments in public transport modes.
Only LANDBANK contactless cards will be accepted as fare media for the interim implementation. Once the necessary regulations or policies have been issued, the LANDBANK AFCS solution can also accept and process the EMV contactless cards issued by other local and foreign banks.
In preparation for its full and commercial implementation, LANDBANK and the DOTr launched the AFCS in September, covering six (6) units of modern public utility vehicles (MPUVs) of PM Jeepney Drivers Operators and Services, Inc. (PMJDOSI).
The remaining 144 MPUV units out of the total 150 PUV units shall soon be deployed in selected pilot sites in NCR, Central Luzon, Calabarzon, and Metro Cebu.
The state-run Bank likewise offers the Support Package for Environment-friendly and Efficiently-Driven PUV (SPEED PUV) Program, to help finance the shift of public transport operators to modern, safer and eco-friendlier vehicles.
Under the SPEED PUV Program, public transport cooperatives and corporations may avail loans for the purchase of modern public utility jeepneys (PUJs). LANDBANK can finance up to 95% of the PUJ’s total cost at an affordable interest rate of 6% per annum, payable based on cash flow but not to exceed a maximum of seven (7) years.
The National Government, through the Land Transportation Franchising and Regulatory Board (LTFRB), also offers P160,000.00 subsidy to borrowers for each PUJ financed under the Program.
As of end-August 2022, LANDBANK has approved P5.3 billion in loans to 116 borrowers under the SPEED PUV Program.
