DBP launches deposit drive

State-run Development Bank of the Philippines (DBP) recently launched a deposit generation campaign to encourage more Filipinos to open bank accounts, thereby expanding its deposit base and improving financial inclusion in the country.

According to DBP president and chief executive officer Cecilia Borromeo, the deposit campaign offers an incentive for new DBP depositors, aimed at bringing in P4 billion in fresh deposits for the bank.

Borromeo said it would also help the bank achieve its target of bringing in 400,000 new private depositors this year, especially small depositors residing in underserved and unbanked areas in the country.

“DBP is poised to welcome new customers, development partners and allies into the DBP fold. DBP hopes this campaign will bring in new, low-cost funds that will in turn finance the various development projects of the institution, while firming up its capability as the country’s infrastructure bank,” Borromeo said.

Under the campaign, each new depositor will have the chance to win one of three P1-million cash prizes in raffle draws upon opening a DBP peso or US Dollar current or savings account, and/or term deposit accounts.

Every P2,000 average daily balance for 91 days entitles new depositors to one electronic raffle entry.

According to Borromeo, the new deposits to be generated by the campaign will beef up the DBP’s lending capability as it seeks to fund more projects in priority areas, such as infrastructure and logistics; micro, small and medium enterprises; social services and the environment.

“We will be using these deposits to lend more to local government units, water districts, electric cooperatives, and for the construction of more schools and hospitals,” she said.

The campaign is also in line with the Bangko Sentral ng Pilipinas’ (BSP) efforts to introduce more unbanked Filipinos into the financial mainstream. In its 2017 financial inclusion survey, the BSP reported that 77 percent or almost four out of five Filipino adults do not have bank accounts.

Borromeo expressed confidence that the campaign would also attract the public to look at DBP “as one of the more appealing options in the landscape of saving and investment in the country.

In 2017, DBP’s deposits grew 15.7 percent to P412.36 billion.

This was sustained in the first quarter with total deposits growing 32.5 percent to P428.5 billion.

Meanwhile, the bank’s gross revenues rose nine percent to P5.77 billion.