SEC urges lender relief amid energy emergency

The Securities and Exchange Commission is urging financing and lending companies to give borrowers calibrated relief as rising fuel prices threaten the repayment capacity of Filipinos during the national energy emergency.

In a press release dated April 17, 2026, and listed as Reference No. 2026-49, the SEC said its April 16 notice asked lenders to adopt sustainable relief measures in line with the declaration of a State of National Energy Emergency under Executive Order No. 110, Series of 2026.

President Ferdinand Marcos Jr. declared the emergency on March 24 in response to the Middle East war, with the administration citing an “imminent danger of a critically low energy supply,” according to The Associated Press.

The declaration was initially set to last one year and placed Marcos at the head of a contingency committee tasked with ensuring the availability and orderly distribution of fuel, food, medicines, agricultural products and other basic goods, AP reported.

“We recognize the importance of the financing and lending industry in extending credit to Filipinos in need. In times of economic disruption, their contribution in offering financial flexibility to the public is even more clear,” SEC Chairperson Francis Lim said.

“We urge the industry to help our fellow kababayans by providing financial relief to enable them to manage their finances better and navigate this difficult period,” he added.

The SEC recommended loan structuring or rescheduling programs as priority relief measures for borrowers affected by the energy emergency.

Such programs may include payment schedule modifications, loan term extensions, adjustments in installment amounts based on a borrower’s capacity to pay, and other reasonable accommodations that allow continued repayment without undue financial strain.

The SEC said financing and lending companies may also grant a grace period of at least one month on loan payments, depending on the borrower’s financial condition.

The commission said any grace period should be targeted, based on demonstrated financial distress by the borrower, and calibrated according to the company’s financing capacity and liquidity position.

The SEC also encouraged lenders to waive or avoid penalties, surcharges and similar charges during the grace period, consistent with fair and reasonable lending practices.

The commission said lenders should use a proportional approach in applying relief measures based on their own financial capacity, including total assets.

The SEC said the proportional approach is intended to preserve the stability of the lending sector while giving vulnerable borrowers room to manage their obligations.

Entities with greater financial capacity, larger scale of operations or exposure to high-volume consumer lending are expected to take a more proactive role in extending meaningful relief.

Those measures may include structured restructuring programs and, where appropriate, targeted grace periods.

Other entities may extend relief on a case-to-case basis, taking into account their financial viability, liquidity position and operational capacity.

The SEC said financing and lending companies operating online lending platforms or engaged in high-volume consumer lending are likewise expected to take a more proactive approach, regardless of asset size.

To promote transparency, the SEC urged lenders to properly document all relief arrangements in writing.

The commission also said relief terms should be clearly explained to borrowers and supported by the borrower’s informed consent.