The Department of Education (DepEd) announced on Friday, November 29, that it requested private financial institutions to implement a loan moratorium for teaching and non-teaching staff impacted by the recent tropical storms.
According to GMA News report, Education Secretary Sonny Angara, in his request letter, proposed a three-month loan moratorium starting January 2025, with payments set to resume in April 2025.
Photo courtesy: DepEd Philippines (Facebook)
“I sincerely hope that, in times of need, even the private sector, including the esteemed financial institution, would find reason to extend to them this much-needed help,” said Angara.
Additionally, the moratorium will cover all DepEd personnel living or working in areas classified as calamity zones by the Office of the President, local government units, or the Office of Civil Defense since September 2024.
The DepEd also sought a moratorium on loan payments scheduled for December 2024, with payments resuming in January 2025. This request includes the suspension of all associated charges, fees, and interest.
The department submitted a similar request to the Government Service Insurance System (GSIS).
To support these requests, the DepEd collaborated with the Bangko Sentral ng Pilipinas to ensure that loans under the moratorium, especially from December 2024 to March 2025, are not categorized as non-performing loans.
Over the past three months, several tropical storms have impacted the Philippines, leading to widespread damage and displacement:
- Tropical Storm Kristine- In late October, Trami brought heavy rains, landslides, and flooding, severely affecting regions in Luzon and the Bicol peninsula, with millions experiencing power outages.
- Typhoon Nika – Also in November, Nika made landfall in Aurora, causing extensive flooding and power disruptions across several provinces
- Typhoon Ofel – Earlier in November, this storm caused significant damage in northern Luzon, prompting evacuations and blocking roads due to landslides
- Typhoon Pepito– This storm struck in mid-November, reaching near-super typhoon intensity with sustained winds of 185 km/h. It caused severe flooding and displaced thousands, particularly in Luzon provinces like Aurora and Isabela.
Photo courtesy: Philippine News Agency (PNA)
These storms contributed to a notably active and devastating typhoon season, with the Philippines facing compounded effects from overlapping weather events.