Livelihood Development Program For Overseas Filipino Workers

Program Objective:
To help overseas Filipino workers and their families start or sustain their own business through access to credit, capability building, market linkage and other forms of livelihood or entrepreneurial assistance.

Target Clients:

  • All active and former member-OFWs of the Overseas Workers Welfare Administration (OWWA)
  • OFWs’ immediate family members (only one family member per OFW can avail)
    • For married OFWs: spouse or children of legal age
    • For single OFWs: parents or children of legal age
  • Former OWWA LDPO borrowers with good records of repayment

Loan Purposes and Repayment Period:

  • For short-term operating capital of new or existing business – two-year revolving credit line to be availed of via 30 to 180 days promissory notes.
  • For permanent working capital for purchase of stock inventory or cost of franchise – 3 years repayment including one-year grace period on the principal.
  • For asset acquisition or construction (except for purchase of land) – payable in 3 to 5 years including one-year grace period on the principal.


Loan Amount:

  • Individual Borrower – maximum loan of P200,000
  • Organized and Registered Group of at least five members – maximum of P1.0 Million.

Interest Rate:

NLDC to Program Partners

  • Interest: 3% per annum to be amortized with principal
  • Service Fee: 1% per annum to be deducted upon loan release and every start of succeeding year based on outstanding balance

Conduits to OFW borrower

  • Interest: 9% per annum to be paid on maturity of short term loan or amortized with principal in case of 3-5 year loans
  • Service Fee: 2% per annum payable upon loan release and at the start of every year thereafter based on outstanding balance
  • Facilitation Fee: 3% one time for the entire term of loan (to cover for CI/BI, appraisal and processing expenses)

Security: Loans shall be 100% collateralized by any or a combination of the following unencumbered assets/rights:

  • Real estate;
  • Chattel properties;
  • Stock inventories;
  • Receivables;
  • Insurance/pre-need policies; and,
  • Other types of collateral acceptable to the NLDC conduit.

Loan Requirements for OFWs:

  • Proof of OWWA contribution
  • Business Plan/Project Feasibility Study
  • Business permit/license for on-going projects
  • Financial statements in case of existing business
  • Documents to establish borrower’s relationship with the OFW (for beneficiary applicants)
  • Collateral papers/ownership titles, etc.

Contact Details:

National Livelihood Development Corporation
Phone: (632) 817.2657 • 894.1713 • 817.8730
Fax: (632) 817.2659

Leave a Reply