The People’s Development Trust Fund (PDTF), created under the Social Reform and Poverty Alleviation Act (Republic Act No. 8425), was established primarily for development and strengthening of institutions involved in providing microfinance services to the poor, in extending necessary support services and in pursuing social and financial preparation for the marginalized sectors of society.

Development grants for capacity-building of microfinance institutions and beneficiaries shall be funded out of the earnings or income of the PDTF. The Corpus of the PDTF is the amount allotted by the RA 8425 in the total amount of Four Billion and Five Hundred Million Pesos (Php 4,500,000,000) over a span of ten years, but remains to be adequately funded with only Php 100 million in trust at present. The disbursable portion shall consist primarily of the earnings of the PDTF and may include additional amounts expressly donated, contributed or granted by local or foreign sources.

The People’s Credit and Finance Corporation (PCFC) has been the designated administrator of the PDTF with NAPC to perform monitoring function over the utilization of the Fund. A PDTF Secretariat was formed within PCFC to perform administrative functions for PDTF operations. A PDTF Executive Committee has been created which is composed of NAPC Lead Convenor, PCFC President/CEO, Members of the PCFC Executive Committee and One representative from the Department of Finance who sits in the PCFC Board.