In compliance with the directive of President Ferdinand R. Marcos, Jr., Agrarian Reform
Secretary Conrado M. Estrella III and Land Bank of the Philippines (LANDBANK)
President and CEO Cecilia C. Borromeo, today, September 28, 2022, signed the Joint
Administrative Order providing the implementing rules and regulations (IRR) for
Executive Order No. 4 Series of 2022, which declares a moratorium on the payment of
land amortization and interests for agrarian reform beneficiaries.
Signed by the President on September 13, 2022, the EO entitled, “Directing the
Implementation of a Moratorium on the Payment of the Principal Obligation and Interest
of the Amortization Due and Payable by Agrarian Reform Beneficiaries,” calls for a one-
year moratorium on loan payments of Agrarian Reform Beneficiaries (ARBs) who
received agricultural land under the Comprehensive Agrarian Reform Program (CARP).
“It is our duty in the government to prioritize the farmers, not only because they are the
ones who keep us alive, but because they will make our economy rise again,” the
The IRR signed by the Department of Agrarian Reform (DAR) and LANDBANK
specifies that the one-year moratorium covers the payment of the Principal Value and
the Annual Interest Due and payable by the ARBs.
“The one-year moratorium period will provide the needed time for Congress to pass the
law condoning the existing agrarian reform loans for the current ARBs and free land
distribution for future beneficiaries,” Estrella said.
It primarily covers the financial obligation to pay the total cost of the land under
Presidential Decree No. 27, including interest at the rate of six percent (6%) per annum
as provided under Section 6 of E.O. No. 228; and the financial obligation to pay the
principal value including the six percent (6%) annual interest of the thirty (30)-year land
amortization of the ARBs under Section 26 of RA No. 6657, as amended.
“LANDBANK supports this historic initiative which is now taking off. We will provide
immediate financial relief to ARBs nationwide, and yield positive results towards
ensuring food security in the country,” said LANDBANK President Borromeo.
LANDBANK serves as the collection agent of the National Government for land
amortizations from ARBs, pursuant to its mandate as the financial intermediary of the
CARP. All collections are remitted by the Bank to the Bureau of the Treasury (BTr) as
part of the revenue of the National Government.
The DAR-LANDBANK Joint Administrative Order covers the identification of
beneficiaries qualified to avail of the one-year payment suspension, with the impact of
the initiative to enhance the productivity and profitability of the ARBs duly documented
EO No. 4 directs the DAR and LANDBANK to jointly submit to the Office of the
President, through the Office of the Executive Secretary, a comprehensive report on the
implementation of this Order, including data on the number of ARBs actually covered
and impact of the moratorium, among others.
The DAR-LANDBANK Joint Administrative Order shall take effect upon publication in
the Official Gazette or in a newspaper of general circulation.