GSIS allots P1.03 billion loans for Zamboanga employees

MANILA, Philippines — State run Government Service Insurance System (GSIS) has earmarked P1.03 billion for the provision of loans to 2,063 employees of the government of Zamboanga City.

In a statement, GSIS chairman and acting president Rolando Macasaet said the state pension fund has now opened its GSIS Financial Assistance Loan (GFAL) and top-up loan facility to personnel of the city government office (CGO) to assist them in their financial needs

“President Duterte’s marching order is to help government employees pay their debts. Our GFAL agreement with Mayor Maria Isabelle Climaco is thus a step towards helping CGO Zamboanga City employees ease their financial woes due to unsettled loans,” Macasaet said.

Prior to this signing ceremony, Macasaet said the GSIS has already inked GFAL agreements with 27 LGUs and agencies in Zamboanga, benefiting 6,428 government employees.

GFAL was initially offered to public school teachers and employees of the Department of Education (DepEd) last May 2018 to improve their financial capacity and help them refinance their outstanding loans for lending institutions.

In July 2019, the state pension fund started to expand the program’s coverage to other agencies and local government units due to the strong interest.

The GFAL program allows GSIS members to transfer their existing loans amounting up to P500,000 from lending institutions to the pension fund. If a member’s total loan is below P500,000, the balance may be applied for as a top-up loan, with the proceeds directly payable to the borrowers.

Permanent government employees with outstanding loans from private lending institutions, government banks, or cooperatives accredited or recognized by their agency are qualified to apply for GFAL.