The Department of Finance posted the draft implementing rules and regulations for Republic Act 11057, or the “Personal Property Security Act,” on its website, where stakeholders and interested parties may review and download the proposed IRR and provide online comments and suggestions.
The draft IRR was prepared by the DoF Legal Services Group in consultation with experts, practitioners and professors in commercial laws and credit transactions of the UP Law Center.
The PPSA aims to promote economic activity by increasing access to least-cost credit, particularly for micro, small, and medium enterprises (MSMEs), by establishing a unified and modern legal framework for securing obligations with personal property.
It also seeks to increase access to credit of MSMEs, as well as farmers and fisherfolk.
Under the PPSA, MSMEs, farmers, and fisherfolk can now secure their borrowings by using non-traditional collaterals.