Pag-IBIG Fund reports record 90% ratio for performing loans

With 9 out of 10 borrowers paying their housing loans regularly, Pag-IBIG Fund achieved a 90.12 percent performing loans ratio (PLR) in 2017, the agency’s highest ever in its 37-year history. This feat was sustained in the first quarter of 2018 in which it recorded a 90.4 percent PLR.

PLR is one of the barometers of Pag-IBIG Fund’s sustainability.

“If our home loan borrowers regularly pay their monthly amortizations, our liquidity improves and we can plow the funds back to our housing portfolio so that more members, especially those with low income, can avail of home loan,” said Housing and Urban Development Coordinating Council (HUDCC) and PagIBIG Fund Chairperson Eduardo D. del Rosario.

Del Rosario stressed that Pag-IBIG supports President Rodrigo Roa Duterte’s social protection agenda. It also aligns with the main objective of BALAI Filipino (Building Adequate, Livable, Affordable, and Inclusive Filipino Communities) program – to provide decent shelter for every Filipino family.

Pag-IBIG Fund Chief Executive Officer (CEO) Acmad Rizaldy P. Moti for his part said that the high PLR, and conversely low non-performing loans ratio or NPLR, allows Pag-IBIG Fund to maintain low housing loan interest rates.

“We appreciate our memberborrowers for being conscientious in meeting their Pag-IBIG obligations. Our PLR went up by 15 percent in five years, from 75 percent in 2012 to 90.12 percent in 2017, thereby significantly improving our collections through the years,” Moti said.

Pag-IBIG Fund generated R51.6 billion in housing collections in 2017, including collections from the sale of Real and Other Properties Acquired (ROPA) – an increase of 9 percent from the amount collected in 2016. This amount is also 13 percent above the collection target for 2017 and the highest in the history of Pag-IBIG Fund.