CALOOCAN CITY, Jan. 14 (PIA) -- State-owned Development Bank of the Philippines (DBP) has granted a P150-million revolving credit line for Hino Motors Philippines Corporation (HMPC) to augment the working capital requirements of the company in the manufacturing and distribution of its commercial vehicles such as trucks, buses and modern public utility vehicles (PUVs), a top official said.

DBP President and Chief Executive Officer Emmanuel G. Herbosa said that the bank's funding support to HMPC will help the company cater to the increasing demand for modern PUVs nationwide, especially with the surge of approvals under DBP's Program Assistance to Support Alternative Driving Approaches (PASADA) during the first half of last year.

"As of end June 2020, DBP has already approved approximately 1,800 units of modern PUVs to be produced by HMPC which will be distributed to around 50 transport cooperatives nationwide," Herbosa said.

DBP is the seventh largest bank in the country in terms of assets and provides credit support to four strategic sectors of the economy - infrastructure and logistics; micro, small and medium enterprises; environment; social services and community development.

HMPC, formerly known as Pilipinas Hino Inc., is one of the pioneers in the development of prototypes for modern PUVs in support of the National Government's PUV Modernization Program.

The company is one of the top players in the truck and bus segment in the country, with 20 dealers nationwide with its Class 2 and Class 3 modern PUVs meeting Philippine National Standards (PNS) 2126:2017 as certified by the Department of Transportation (DoTr).

Herbosa added that DBP continues to work closely with DoTr and the Land Transportation Franchising and Regulatory Board to continually expand financial interventions that would help the transportation and other affected sectors recover from the impact of the pandemic.

He said the bank recognizes the essential role of the transport sector in the country's overall economic recovery as it caters mostly to workers belonging to the MSME sector, which is considered the backbone of the local economy.

"With this, it is imperative for DBP to support initiatives that would not only benefit our local drivers but other small businesses as well," Herbosa said. (PIA NCR)