State-owned Development Bank of the Philippines (DBP) posted an impressive net income of P1.29-billion in the first quarter of the year, a significant 30.4% higher than the P989-million posted in the same period in 2016. The Bank attributed its marked increase in income to the sustained growth of its loan portfolio.
DBP’s gross loan portfolio grew by an impressive 30.6% to P232.1-billion in the first quarter of 2017, from only P177.7 billion in the same period a year ago. Total assets reached P512.9-billion, representing a 6.2% increase from the P483.2-billion registered in the same period last year. Deposits, meanwhile, grew by 2.0%, from P317-billion in the first quarter of 2016 to P323.3-billion as of the end of March this year.
DBP President and Chief Executive Officer Cecilia C. Borromeo said the improved financial performance of the Bank should give it more financial muscle to support the strategic development thrusts of the National Government, particularly in building the country’s infrastructure.
“As a development financial institution, DBP will continuously strive to surpass the performance yardsticks by which the market measures financial institutions. At the same time, it shall continue implementing programs that promote inclusive growth particularly in the areas of social services and community development, SME promotion, and environmental responsibility,” she said.
DBP’s total capital adequacy ratio (CAR) improved to 15.8% in the first quarter of 2017, from 15.7% during the same period last year.
Borromeo added that, “We will continue to intensify DBP’s efforts towards increasing access to a wide range of financial products and services. This is in support of the National Government’s strategy towards a more inclusive financial system.”
In the first quarter of 2017 alone, DBP has already expanded its network to 116 branches, with the opening of five new branches located in Bangui, Ilocos Norte; Siquijor, Siquijor Province; Lal-lo, Cagayan; and Tubigon and Ubay in Bohol. DBP also opened extension offices in Naguilian, La Union and Cabugao, Ilocos Sur.
At present, DBP is the only universal bank with a presence in Cabugao, Ilocos Sur; Bangui, Ilocos Norte; Siquijor, Siquijor Province; and San Jose, Dinagat Island. With this pioneering effort to reach out to more underbanked communities, DBP continues to promote wide-ranging and all-encompassing growth countrywide.
Borromeo said that DBP’s ultimate goal is to bring its development finance expertise closer to the unbanked in the countryside, thereby ensuring that the benefits of growth are cascaded to more people.