LAND BANK of the Philippines (LANDBANK) approved P6.9 billion in loans for the purchase of modern jeepneys as of Jan. 31, the state-owned lender said on Sunday.   

The bank said that under the Special Package for Environment-Friendly and Efficiently-Driven Public Utility Vehicles (SPEED PUV) program, it will lend to 144 transport cooperatives and corporations nationwide for the purchase of over 3,120 modern public transport units.  

LANDBANK continues to extend much-needed financial support to assist drivers and operators upgrade their fleet, in line with the National Governments transport modernization agenda, LANDBANK President and chief executive officer Cecilia C. Borromeo said.  

We remain committed to the improvement of the countrys public transport system for the benefit of both transport operators and the riding public, she added.  

Under the SPEED PUV program, eligible borrowers may loan up to 95% of the total cost of a modern jeepneys at an interest rate of 6% per annum, or a minimum of 0.5% per month, the bank said.  

The loan is payable up to a maximum of seven years, the lender added.   

It also comes with a subsidy of P160,000 per vehicle from the National Government for units classified under Class 1, 2, 3, and 4 category models, LANDBANK said.    

The SPEED PUV was set up in support of the governments public transport modernization program led by the Department of Transportation (DoTr) and Land Transportation Franchising and Regulatory Board (LTFRB).  

Modern jeepneys, unlike traditional diesel-run units, are more environment friendly as these are compliant with the European and global emission standards. 

New units are also equipped with air-condition, closed-circuit television systems, Wi-Fi connectivity, and global positioning system. Aaron Michael C. Sy