Tagum City Council approves P231-M loan to finish new City Hall building

December 2, 2010 11:30 am 

TAGUM CITY, Davao del Norte, Dec. 2 — The Tagum City Council recently approved a resolution to secure a new loan worth P231 million for the completion of the new City Hall building at Barangay Apokon here.

Sr. Councilor De Carlo Uy said the City Council has also approved the resolution authorizing Mayor Rey Uy to be the signatory.

Uy said the new loan from the Philippine National Bank where 20 percent of the city’s Internal Revenue Allotment made as loan collateral. The loan carries 7.75 interest rates.

"With the P231 million that has still to be approved by the bank, the total loan for the new City Hall is P681 million with the earlier loans of first P200 million and then P250 million from the Development Bank of the Philippines (DBP)," he said.

Uy, who is chairman of the budget, finance and appropriation committee, said the city government can ably pay for the new loan even as old loans for the new city hall project are continuing to be amortized.

He said based on the city government’s projected revenues, the new loan is within the allowable debt servicing capacity. (PNA)

LDV/CVM/ldp

Comments

One Response to “Tagum City Council approves P231-M loan to finish new City Hall building”

  1. Jocelyn on December 2nd, 2010 12:37 pm

    Dear Tagum City Officials,

    Greetings from Beijing, China!

    I am so happy reading this news!!! Nakita nako ang mga infrastracture projects under UY’s administration & truly I’m so amazed. Garbo kaayo nako nga taga Tagum ko!

    Cheers,

    Jocelyn