Memorandum Circular No. 1295, issued on November 21, 1985, directs all provincial and municipal leaders in the Philippines to establish credit cooperatives for market vendors in public markets. This initiative is part of the broader cooperative development program under Presidential Decree No. 175, aimed at enhancing the economic conditions of less fortunate segments of society. The circular emphasizes the importance of these cooperatives in providing financial resources, improving vendors' income, and reducing reliance on predatory lending practices. Local governments are instructed to collaborate with the Ministry of Agriculture and Food and existing cooperative organizations to effectively implement these credit cooperatives, ensuring they have appropriate office space for operations.
November 21, 1985
MEMORANDUM CIRCULAR NO. 1295
| TO | : | All Provincial Governors; City Mayors; Municipal Mayors |
| SUBJECT | : | Organization and Establishment of Credit Cooperatives Among Market Vendors in the Public Markets of the Country |
WHEREAS, Presidential Decree No. 175, as amended, has been promulgated in order to strengthen the cooperative movement in the Philippines;
WHEREAS, Presidential Decree No. 175, recognizes the existence of less fortunate segments of our society who are in need of social economic amelioration and should have the right to enjoy the privileges of self development, social growth and economic independence under a truly just and democratic society; AECDHS
WHEREAS, the Ministry of Agriculture and Food (MAF), through the Bureau of Cooperatives Development is mandated by law to promote the cooperative development program;
WHEREAS, pursuant to the cooperative development program, the MAF has encouraged the organization of varied cooperative enterprises, among which are credit cooperatives for market vendors particularly in the National Capital Region (NCR);
WHEREAS, the market vendors credit cooperatives have proven the merit and objectives of PD 175 as a means of increasing income and purchasing power of low-income, sector of the population;
WHEREAS, these market vendors credit cooperatives have to a certain extent provided financial capital to market entrepreneurs through their own self-help program, and common pooling of financial resources thereby eradicating "loan sharks" and "5-6 money-lenders" in market areas where credit cooperatives are in operation;
WHEREAS, it is most desirable to replicate the successful programs on the NCR experience on a nationwide basis;
WHEREFORE, all Provincial Governor and City/Municipal Mayors are hereby ordered, in coordination with the Ministry of Agriculture and Food and its local representative, as well as existing private cooperative organizations such as the National Market Vendors Cooperatives Service Federation, Inc. (NAMVESCO) and the Cooperative Foundation Philippines, Inc. (CFPI), to take all necessary measures in the establishment and organization of credit cooperatives among market vendors in all public markets within their respective jurisdiction. DCTSEA
It is further directed that the organized credit cooperatives in all public markets be allocated office space within the market under such terms and conditions conducive to the efficient operations of the cooperatives.
DONE on the 21st day of November, 1985, at Malacañang, Manila.