GOCC dividends reach P30.45 B in 2017

State corporations remitted P30.45 billion in dividends to the national government in 2017, up 9.8 percent from the P27.73 billion recorded in 2016, according to the Department of Finance.

In a report to Finance Secretary Carlos Dominguez, the DOF’s Corporate Affairs Group (CAG) said it collected more dividends from government-owned and -controlled corporations (GOCCs) last year despite exempting the Land Bank of the Philippines from paying its contribution.

GOCCs are required to remit at least half of their net profit to the national government pursuant to Republic Act 7656 or the GOCC Dividend Law. Dividends from state corporations form part of the national government’s non-tax revenue.

“For CAG, we are pleased to report that our dividend collections has hit P30.4 billion, up from the 2016 level of P27.6 billion. And that is excluding the LandBank dividends of P6 billion,” Finance Undersecretary Antonette Tionko of the CAG said.

Earlier, Dominguez said the DOF has exempted the LandBank from paying dividends to allow it to beeff up its financial position in compliance with the Bangko Sentral ng Pilipinas’ capital adequacy ratio and the Basel III leverage ratio requirement.

According to DOF data, dividend collections amounting to P30.45 billion last year came from 53 GOCCs. The largest contributor was the Philippine Deposit Insurance Corp. (PDIC) with P7.46 billion.

This was followed by the Civil Aviation Authority of the Philippines, which remitted P5.39 billion to the Treasury. The CAAP collected nearly P6 billion in long-overdue navigational fees and other charges from the Philippine Airlines in October last year.

Among other major dividend contributors to the national government include the Development Bank of the Philippines (P2.51 billion), Manila International Airport Authority (P2.22 billion), Philippine Ports Authority (P1.95 billion), Bangko Sentral ng Pilipinas (P1.84 billion), National Power Corp. (P1.39 billion), Philippine Amusement and Gaming Corp. (P1.18 billion), and Subic Bay Metropolitan Authority (P923.60 million).

Other GOCCs which also remitted are the Philippine Economic Zone Authority (P622.91 million), PNOC Exploration Corporation (P519.42 million), Clark Development Corporation (P500 million), National Development Company (P428.19 million), Philippine Reclamation Authority (P323.76 million), Local Water Utilities Administration (P319.08 million), Cebu Port Authority (P294.69 million), Cagayan Economic Zone Authority (P240.59 million), Metropolitan Waterworks & Sewerage System (P232.63 million), and Philippine Leisure and Retirement Authority (P210.44 million).