DOF outsources lending services

MANILA, Philippines - The Department of Finance (DOF) is set to outsource the operations of its lending services to the Development Bank of the Philippines (DBP), a senior official of the agency said.

Finance Undersecretary Gil Beltran said the DOF intends to transfer the operations of its Municipal Development Fund Office (MDFO), the agency’s unit in charge of lending to LGUs.

“We will transfer the implementation because they can do better than us...DBP has developed the expertise; they’re already lending to LGUs,” Beltran said.

Beltran said the transfer would be made through the signing of a memorandum of agreement between the DOF and the DBP.

“We will just outsource the operations (of the MDFO),” he said.