Loan Project Financing by the Municipal Development Fund Office (MDFO)

By LCP Secretariat
January 24, 2020

Reference No. (2020-01-04)

FROM : The Executive Director
RE : Loan Project Financing by the Municipal Development Fund Office (MDFO)

DATE: 24 January 2020



We are pleased to inform you of the different financing windows currently being offered by the Municipal Development Fund Office (MDFO) of the Department of Finance (DOF). MDFO is mandated to provide financing for priority development projects of Local Government Units (LGUs) at lower interest rates. Since 1998, the MDFO has been extending loan assistance to LGUs, including free technical assistance in the preparatory stages of project implementation.

Apart from low-interest rates, MDFO provides a menu of options catering to the various financing needs of LGUs. For instance, disaster-stricken cities can take advantage of the Disaster Management Assistance Fund (DMAF) to assist in their rehabilitation efforts. On the other hand, development projects with earning potential are qualified to avail of the Municipal Development Fund Project. Projects with private sector partners can access MDFO’s Public-Private Partnership Fund. For cities that are new to obtaining loans, we encourage that you take advantage of MDFO’s Project Technical Assistance and Contingency Fund. Attached are copies of the brochures for these financing windows. Also, attached are copies of various forms and requirements to facilitate loan access.

Interested cities may contact Ms. Rachelle Gladys M. Audar, Financial Analyst III of the Project Appraisal and Evaluation Division, at (02) 8525-9187 or at mobile nos. 09176331173, 09175417174, or 09209674811. Also, you may check on their website at or email them at Thank you.

Very truly yours,



Executive Director




Click here to download PTACF Fund brochure

Click here to download PPP Fund brochure

Click here to download DMAF Fund brochure

Click here to download MDFP brochure

Click here to download MDFP Initial Requirements

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