BSP needs to improve credit surety program

The central bank’s Credit Surety Fund (CSF) program faces several limitations and challenges that should be addressed to extend its reach to the majority of unbankable micro, small and medium enterprises (MSMEs), the Asian Development Bank Institute (ADBI) said in a report.

“The CSF has been performing well and according to expectations. Targets used as performance standards have been achieved. The CSF is financially sound with related financial risks maintained at minimum and tolerable levels,” the ADB think tank stated in a recently published working paper.