Farmers group Kilusang Magbubukid ng Pilipinas (KMP) has strongly criticized the World Bank’s latest loan of US$350 million (Php19 billion) aimed at financing agricultural MSMEs. KMP described it bluntly as “Panibagong utang, lumang palpak na programa.” “Ang makikinabang dito ay ang mga malalaking agribusiness, hindi ang mga magsasakang walang sariling lupa o puhunan.”

KMP emphasized that this World Bank loan is a repeat of past interventions that have historically favored corporations while small farmers remain excluded from credit, support, and reform. They cited prior World Bank–backed Department of Agriculture initiatives—such as the Philippine Rural Development Project (PRDP) which have been plagued by delayed implementation, limited rural reach, and procurement irregularities. These projects routinely benefit commercial intermediaries while sidelining true tillers of the land.

According to KMP Secretary‑General Ronnie Manalo, this loan demonstrates the Department of Agriculture’s long-standing preference for corporate beneficiaries. “Laging sinasabi ng DA na para sa maliliit ang proyekto, pero sa bandang huli, mga korporasyon ang nakikinabang. Lalong inilalayo ang mga magsasaka sa tunay na reporma sa lupa at serbisyo sa agrikultura.”

Clarifying their objections, KMP pointed out that the term “agri‑MSME” often includes middle-tier traders and exporters, rather than actual subsistence rice and vegetable farmers, fisherfolk, and rural women. These sectors endure lack of access to basic agricultural subsidies, free irrigation, and post‑harvest facilities.

The peasant group further warned of the fiscal burden this new debt imposes — shifting fiscal resources away from direct production subsidies. KMP also referenced previous World Bank–DA schemes like Quedancor and AFMA programs, which suffered from corruption, patronage politics, delayed disbursement, and inadequate local implementation.

According to KMP Chair Danilo Ramos, rural MSME financing has long served elite interests. “MSME ang tawag nila pero corporate agri‑business ang tunay na beneficiaries. Walang tunay na pamamahagi ng lupa, walang price support, walang sapat na subsidyo pero may bilyong pisong pautang mula sa World Bank. Para saan at para kanino?”

KMP maintained that these loans are far from neutral. “These loans come with strings attached: privatization, deregulation, and liberalization. All of which have wrecked our agriculture and economy for decades.” He added, “Sa ilalim ng ganitong programa, pinipilit tayong sumunod sa dikta ng dayuhan habang binubusabos at binabalewala ang mga magsasaka.”

As President Marcos Jr. prepares for his fourth State of the Nation Address (SONA), KMP reiterated its demands for genuine land reform and national industrialization, free land distribution, direct production support, and compensation for farmers and fisherfolk. They also called for the reversal of neoliberal agricultural policies enforced through loan conditionalities. Ramos concluded, “Hindi pautang ng World Bank ang sagot sa krisis sa agrikultura. Ang kailangan: tunay na reporma sa lupa at pagpapalakas ng lokal na produksyon,” KMP concluded. ###