Strong loan book powers DBP; income to rise 177%
State-owned Development Bank of the Philippines (DBP) posted a net income of P5.35 billion in the year through September, 177-percent up from last year as its loan portfolio continued to pick up.
As loans grew, net interest income likewise surged, DBP president and CEO Emmanuel G. Herbosa said.
The bank’s nine-month performance is moving closer to its prepandemic numbers. In 2019, full-year earnings hit P5.57 billion.
Total loans to borrowers during the January to September period reached P504.8 billion, up 15 percent, as the economy further opened alongside the easing of mobility restrictions. Of the amount, more than half or P270 billion was allocated for the infrastructure and logistics sector, with the bulk of the projects situated in the National Capital Region, Central Visayas, Central Luzon, Calabarzon, Eastern Visayas and Davao.
For social infrastructure and community development projects, loans totaled P103.71 billion or 20.5 percent of the total.
DBP also provided P54.35 billion in loans for environment-related projects, P48.24 billion for the agriculture sector, P30.30 billion for the MSME sector and P74.46 billion for projects in finance and insurance, manufacturing, wholesale and retail trade, accommodation and food services.
The DBP executive is expecting growth to have continued further in the fourth quarter.“The remittances are there plus, now, because of extraordinary times, interest rates are up,” Herbosa said.
Subscribe to INQUIRER PLUS to get access to The Philippine Daily Inquirer & other 70+ titles, share up to 5 gadgets, listen to the news, download as early as 4am & share articles on social media. Call 896 6000.