FOLLOWING the approval of House Bill 9541 or the proposed Cooperative Banking Act in the House of Representatives last week, Senator Christopher “Bong” Go expressed support for the measure to strengthen and properly regulate cooperative banks across the country.

On Wednesday, February 2, Senator Go remarked how cooperative banks are crucial to financially strapped Filipinos amid the pandemic, especially in remote areas. He noted that it is high time to pass a law that would strengthen said banks, as they play a significant role in the country’s economic development.

“As the country suffers from the health and economic effects of the COVID-19 pandemic, many of our kababayans have been suffering financially. Marginalized communities and families living in far-flung areas are one of those greatly affected by the downturn of our economy,” Go shared.

“Cooperative banks have been very helpful to our kababayans. And in this time of pandemic, it is high time to pass a law which will make advancement and proper regulation to these banks,” he stressed.

The bill provides for the registration, regulation and operation of cooperative banks under the supervision of Bangko Sentral ng Pilipinas, in accordance with the General Banking Law of 2000.

It aims to increase the membership of cooperative banks by making them available to foreign cooperatives, provided that the latter may not own more than 40% of the total outstanding voting shares of a cooperative bank.

The proposed measure shall likewise allow cooperative banks to undertake an array of financial services such as deposit taking, extending credit, discounting and rediscounting, dealing in debt securities, and participating in government allocation programs equipped towards promotion of financial inclusion, among others.

In addition, it shall authorize cooperative banks to invest in equities of allied undertakings such as banks, financial institutions and non-bank financial intermediaries, leasing, Automated Teller Machine network operations, and public transportation.

Go expressed his optimism that the proposed measure would help provide stable, sustainable, and efficient operations for the protection of the public interest, saying, “This will not only strengthen the banks but also help our farmers, fisherfolk, small traders and micro-entrepreneurs in rural areas.”

“Naiintindihan ko ‘yung mga cooperative bankers dahil talagang kayo ‘yung tinatakbuhan no’n. Sa mga malalayong lugar, kayo po ‘yung mayroong puhunan at madaling matakbuhan. Mas naiintindihan niyo ‘yung problem diyan sa baba. Dahil diyan din po ako nanggaling sa mga lugar na ‘yan,” he added.

Finally, the senator reiterated his appeal for continued bayanihan among cooperatives in the country as he recognized their role in development and nation-building. He likewise reassured the Filipino people that he will continue to support them in the best way he can.

“It is our duty to support any advancement of this sector, and it is upon us to help our kababayans to have a better future ahead,” Go emphasized.

“Sabi ko nga kung ano po ‘yung makakatulong sa mga mahihirap at sa mga malalayong lugar full support po ako diyan,” he ended.