DBP, BCDA partner for infra financing

The Development Bank of the Philippines (DBP) has entered into a partnership with the Bases Conversion Development Authority (BCDA) to help facilitate the agency’s infrastructure projects.

The DBP signed a memorandum of understanding with the BCDA to help the agency in project financing and implementation.

Under the MOU, the DBP will act as the BCDA’s financial advisor and funding arranger. It will also assist the BCDA in evaluating and preparing its infrastructure projects in the pipeline.

DBP president and chief executive officer Cecilia Borromeo said the partnership is a step in the right direction in fulfilling its role as a key player in the government’s infrastructure development thrust.

“As we celebrate our 70th anniversary, we hope that our partnership can become one of the milestones that we can look back on as DBP moves forward with its mandate as the country’s prime infrastructure bank,” Borromeo said.

BCDA president and chief executive officer Vivencio Dizon is optimistic the partnership with the DBP would be broad and long-term and would help the BCDA to better fulfill its mandate.

The BCDA is a state corporation focused on developing former military assets into new centers for growth. It is engaging in public infrastructure projects, including tollways, airports, seaports and major real estate developments.

The agency is currently involved in the development of the Clark Green City, which is envisioned to be the first sustainable smart city in the Philippines.

Earlier, the DBP has also opened a financing facility under its Infrastructure Contractors Support Program (ICONS) which would help provide the financing needs of local contractors.

This is in line with the directive of Finance Secretary Carlos Dominguez to convert the DBP into becoming the country’s infrastructure bank.

The DBP reported a net income of P1.29 billion in the first quarter, 30.4 percent higher than the P989 million posted the same period in 2016.

The bank attributed the growth to the sustained expansion in its loan portfolio, which rose 30.6 percent to P232.1 billion during the period.

Its assets also increased 6.2 percent to P512.9 billion, while deposits likewise grew two percent to P323.3 billion.