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.
