Panabo City, Davao del Norte – July 24, 2025 — In what officials hailed as a historic breakthrough in the government’s agrarian reform efforts, over ₱716.17 million worth of agrarian debts were formally condoned for more than 15,000 farmers in the Davao Region, covering more than 16,210 hectares of agricultural land.
Department of Agrarian Reform (DAR) Secretary Conrado M. Estrella III led the ceremonial distribution of 15,194 Certificates of Condonation with Release of Mortgage (COCROMs) in Panabo City, freeing thousands of Agrarian Reform Beneficiaries (ARBs) from decades of unpaid amortizations.
Also distributed were 2,856 electronic land titles under Project SPLIT, and 50 Collective Certificates of Land Ownership Award (CLOAs) covering 35.2 hectares in Davao City. The event was attended by top officials from the DAR, Mindanao Development Authority (MinDA), Land Bank of the Philippines, local government units, and other agencies.
DAR Secretary Estrella called the condonation a “symbol of justice and renewed hope,” emphasizing that the government remains committed to supporting ARBs through continued services and programs.
Long-Term Relief or Temporary Reprieve?
While the move has been welcomed by many farmers and local officials as long overdue, questions have begun to surface on the long-term sustainability of the initiative. Critics and policy observers ask: Who ultimately shoulders the cost of this debt forgiveness?
Under Republic Act 11953 or the New Agrarian Emancipation Act, the government writes off the amortization debts of ARBs and lifts their mortgage obligations. In effect, it is the taxpayers who will absorb the more than ₱716 million in unpaid debts—a reality that has sparked concern over fiscal responsibility and equity.
“It’s important to ask what safeguards are in place to ensure that farmers don’t fall back into debt,” said one agricultural economist familiar with the law. “Have we created enough support systems—such as access to credit, training, infrastructure, and markets—so they can make full use of their lands and not end up pawning or selling them again?”
Governor Edwin Jubahib of Davao del Norte himself urged the beneficiaries not to sell their newly secured lands, saying, “We are not just distributing titles; we are distributing hope. Please, don’t sell your land after receiving your titles.”
Can Future Debt Be Avoided?
The issue of sustainability is particularly relevant as Project SPLIT, funded by the World Bank, continues to parcel out land titles to individual ARBs. Without strong government-backed programs to help farmers manage their farms productively, some fear the titles may become collateral for new debts rather than tools for empowerment.
While Secretary Estrella emphasized that the Bagong Pilipinas agenda envisions not only land distribution but also continued support through infrastructure, credit access, and technology, no detailed roadmap was laid out during the event to ensure that these services will reach all ARBs on the ground.
Moreover, MinDA Chairperson Leo Tereso Magno encouraged farmers to engage with their new flagship initiative “Building a Better Mindanao,” but it remains unclear what specific assistance will be provided or how accessible it will be to farmers in remote barangays.
Who Really Pays?
Beyond the promise of rural emancipation, the financial implications of RA 11953 raise difficult questions. With over ₱716 million in forgiven debts in just one region, and more expected nationwide, public finance experts caution about the cumulative burden this places on taxpayers—many of whom are not landowners themselves.
“The intent is noble,” one observer noted, “but transparency is essential. How much has already been condoned nationwide? Who’s keeping track? And what are the measurable outcomes?”
As the Marcos administration pursues ambitious agrarian and rural development reforms, farmers and the public alike will be watching not only for more ceremonies but for results: increased farm productivity, reduced poverty, and rural communities that no longer need to rely on debt relief for survival.
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