Foreign borrowings have been utilized to strengthen the credit aspect of agricultural production programs. Presidential Decree 717, more precisely known as the Agri-Agra law, was also issued by the Marcos government primarily to mandate banks to set aside 25 percent of net funds generated for agricultural loans (15 percent) and for agrarian reform beneficiaries (10 percent)...
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Pursuant to its original provisions, financing under the "15-percent agri" component includes loans and advances for activities that cover production, processing, marketing, storage and distribution. For the 10-percent agra complement, PD 717 identifies tillers, tenant-farmers, settlers, agricultural lessees, amortizing owners, owner-cultivators, farmers' cooperatives and compact farmers as agrarian reform beneficiaries...
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