DBP profit climbs in 2017

DEVELOPMENT Bank of the Philippines (DBP) saw its net income rise in 2017 on the back of steady growth in its loan portfolio.

In a press briefing on Monday, DBP President and Chief Executive Officer Cecilia C. Borromeo said the state- owned lender booked a P5.1-billion net income in 2017, 21% higher than the P4.2 billion posted in 2016.

“There are a lot of positive things going in our institution. We are experiencing robust growth in our financials,” Ms. Borromeo said.

DBP’s net income growth was mainly driven by its gross loan portfolio, which grew 22% to P293.47 billion last year from the P240.9 billion logged in the comparable year-ago period.

Broken down, Ms. Borromeo said the lender lent a total of P76.23 billion to infrastructure and logistics projects.

DBP also approved a total of P7 billion for 132 projects under its Infrastructure Contractors Support Program to address funding gaps in support of the government’s Build, Build, Build program.

“We are intensely looking forward to helping bridge the country’s infrastructure gap and fund ongoing and proposed major infrastructure projects which are vital for sustaining high and inclusive growth,” Ms. Borromeo said.

The DBP president said the bank also helped build 120 hospitals and 2,486 schools through its P25.6-billion assistance to the social services sector.

The bank also supported small and medium enterprises by providing P57 billion under its Small Business Puhunan Loan and Broiler Contract Growing programs.

Aside from these, the lender also allocated a P21.87- billion assistance to help build environmentrelated projects such as those on water sewerage and management and power generation.

Meanwhile, the lender’s deposits also expanded 16% to P412.36 billion last year from the P356.24 billion recorded in 2016.

DBP’s total assets reached P597.41 billion, growing 11% from the P536.11 billion figure in 2016.

Looking ahead, DBP is eyeing to bolster its asset base to P1 trillion by 2022 through the” expansion of its deposit base and aggressive lending activities.”

The bank targets to 10 new branches and eight new extension offices across the country and add 200 more automated teller machines (ATM). Currently, DBP has a network of 125 branches, three extension offices and 637 ATMs.

Aside from this, DBP also targets to get a million new customers in the next five years to promote the government’s initiative of financial inclusion.

“This is an integral part of our advocacy to introduce more unbanked Filipinos into the financial mainstream,” Ms. Borromeo added.

For this year, the bank is targeting a net income of P5.55 billion and assets worth P657.30 billion.

“DBP will firmly work to accomplish its set directions for 2018, maximize the potentials of its human resources and seize every opportunity for growth and progress,” Ms. Borromeo said.

Data from the central bank showed that DBP was the eighth largest bank in asset terms as of September 2017.