The rural banking system is ideally situated and structured to evolve into the most sustainable microfinance provider in the Phil countryside. While many NGOs have successfully grown their portfolios and outreach through the years, they remain hampered by the fact that as NGOs, they are not allowed to accept deposits per se, like the rural banks, and therefore are unable to mobilize savings from the public, to channel to the growing needs of the MF sector. External funding from donors is slowly dwindling and costs of borrowings,even from a dynamic govt. agency like the PCFC, is much higher (13% vs. deposit costs of 1.5 - 4%, if internally generated)