This is to ensure the survival of MSMEs
DTI has released its memorandum circular for residential and commercial rent. Under Memorandum Circular No. 20-12, Series of 2020, all residential and Micro, Small, and Medium Enterprises (MSMEs) commercial rents will be given a 30-day grace period.
DTI Secretary Ramon Lopez explained that MSMEs shall not incur interest, penalties, fees, and other charges to ensure survival as most operations in Luzon are suspended due to the enhanced community quarantine. Earlier today, Pres. Rodrigo Duterte approved the extension of the enhanced community quarantine to April 30.
Under the memorandum, the grace period is determined as “30 calendar days following the last due date of the rent due to the lockdown”. The cumulative amount should be settled within 6 months from the end of the grace period.
Those violating the memorandum can be penalized with two months of jail time or fines ranging from Php 10,000 to Php 1 million.