Bicol Saro Party-list Rep. Brian Raymund Yamsuan (Facebook)

Bicol Saro Party-list Rep. Brian Raymund Yamsuan is prodding the Senare to pass its version of a measure that's designed to save micro entrepreneurs, like market vendors and sari-sari store owners, from the clutches of predatory “five-six” moneylenders.  

Yamsuan was referring to the proposed Pondo Para sa Pagbabago at Pag-Asenso (P3) Program, the institutionalization of which is sought under House Bill (HB) No.7363. 

Principally authored by the rookie congressman, HB No.7363 or the proposed P3 Act was already approved by the House of Representatives on third and final reading last year.  

The measure can only more forward if a version in the other legislative chamber, the Senate, is given the same treatment. 

Through the bill, Yamsuan said he envisions "small businesses with enough profits and opportunities to expand".  He said the proposed P3 Program provides low-interest, no-collateral loans to micro entrepreneurs. 

Yamsuan, who recently filed his candidacy to run as representative of Parañaque’s 2nd district in the 2025 mid-term elections, said the P3 Program also aims to shield these small businesses from the usurious lending practices of five-six moneylenders. 

Five-six moneylenders are so called because they require borrowers to pay P6 for every P5 they lend out. This equates a high nominal interest rate of 20 percent that they charge over an agreed period of time, which drives borrowers deeper in debt.  

Several counterpart versions of the P3 Act in the Senate have yet to reach plenary approval. 

“We call on the Senate to pass this measure that will benefit micro businesses and small enterprises. Hindi lamang mga Parañaqueño at mga Bicolano ang mabebenepisyuhan ng panukalang batas na ito kundi maging  ang mga kasalukuyan at mga aspiring micro and small entrepreneurs sa iba’t ibang panig ng ating bansa 

(The bill will benefit not only Parañaquenos and Bicolanos but also other  micro and small entrepreneurs  as well as aspiring ones in different areas of our country),” Yamsuan said.  

"The long-term gains under the P3  will make the program a prime driver of our economic growth,” he added. 

Yamsuan said institutionalizing the P3, which would ensure that this micro financing program would remain sustainable over the long term, is aligned with his H.O.P.E. platform for Parañaque City’s 2nd district.  

His H.O.P.E. agenda stands for Health, Opportunities, Peace and Education, which  aims to ensure that residents of Parañaque’s ’ 2nd district are 1)  provided quality and affordable Health and medical care; 2) equipped with adequate job and livelihood Opportunities to elevate their living standards; 3) assured of Peace and safety in their communities; and 4) guaranteed access to quality Education.  

Yamsuan said HB No.7363 aims to create the Pondo sa Pagbabago at Pag-Asenso Fund to ensure the program’s sustainability.  

The effective interest rate imposed on P3 loans as proposed under the bill shall not exceed 1 percent per month for direct lending, and 2.5 percent per month if borrowed from accredited PFIs.  

To make P3 easily accessible to micro and small enterprises (MSEs), the bill authorizes the SBC to accredit Partner Financial Institutions  (PFIs) to extend loans under the program.

These include rural banks, thrift banks, development banks, cooperative banks, cooperatives, non-stock savings and loan associations, microfinance institutions and other qualified lenders.  

Yamsuan said the bill would benefit more than 90 percent of businesses classified as MSEs.