Bank lending to MSMEs climbs to P184 billion in June

Loans extended by banks to micro, small, and medium enterprises, which are used as compliance to the reserve requirement ratio, reached P183.9 billion as of mid-June, according to the Bangko Sentral ng Pilipinas......»»

Category: financeSource: philstar philstarJul 31st, 2021

COVID-19 loans to MSMEs near full takeup

A lending facility to support micro, small and medium enterprises severely affected by the coronavirus pandemic is nearing full utilization as total approved loans have reached P4.5 billion as of June 9, the Department of Trade and Industry said......»»

Category: financeSource:  philstarRelated NewsJun 11th, 2021

UnionBank lends P1.5 billion to MSMEs via SeekCap

Aboitiz-led Union Bank of the Philippines Inc. has disbursed P1.5 billion worth of loans to micro, small, and medium enterprises particularly those affected by the pandemic through its online lending platform......»»

Category: financeSource:  philstarRelated NewsMar 13th, 2021

COVID-19’s impact on banks manageable – BSP report

The banking system remains on “solid footing” in terms of assets, loans, deposits, profitability, capital and liquidity buffers despite the COVID-19 health crisis, a report from the Bangko Sentral ng Pilipinas (BSP) said.  “The impact of the pandemic on the overall condition and performance of the banking system, which remains the core of the domestic financial system, has been manageable,” according to the BSP’s second semester report on the Philippine financial system. The total assets of the banking system account for 81.9 percent of the financial system’s total resources. MB file photo. The banks remained resilient during the worst of the lockdown period because of the “timely, time-bound and crucial” regulatory relief measures that BSP granted to them during the most severe quarantine months of March until June. These relief measures “helped address the adverse repercussions of the pandemic.” One of these reprieves was the suspension of the submission of some bank reports while most of the country was on enhanced community quarantine (ECQ) restrictions. Banks have had to adjust operations and deal with the slowdown in economic activities that affected their borrowers’ capacity to pay. Based on a set of financial soundness indicators (FSI) to assess banks’ health and soundness, it noted that the banking system is “stable and resilient despite global uncertainties related to the extent and path of COVID-19 menace.”  But, the BSP said that the FSI analysis also implies that “consequent risks from lending should be monitored especially in the event of excessive uncertainties that could place additional pressures on the banking system in the short and medium run.” As of the report timeline, banks surveyed have yet to determine the total impact of the grace periods under the Bayanihan law but generally, based on the BSP’s comprehensive baseline survey conducted in April, banks have proactive control measures that will ensure the continued delivery of financial services to the general public and also to protect their personnel, said the BSP. Banks’ business continuity plans, and previous efforts at digitalization, also helped them to respond quickly to conditions brought about by the ECQ. Despite the economy in recession due to the pandemic, the banking system’s total assets reached P18.6 trillion as of end-June, 98.8 percent of the GDP. The end-June tally was 7.9 percent higher year-on-year but was slower than the 9.8 percent growth recorded in June 2019 and the 8.4 percent growth as of end-December 2019. Assets continue to grow because of the expansion of funds that went to lending activities while funding came from deposits, bond issuances and capital infusion. In the meantime, the report said banks’ profitability or net income fell by 22.5 percent to P86.5 billion as of end-June 2020 because of higher provisioning requirements. This was a reversal of the 27.7 percent growth in earnings same time in 2019.  “Provisions on credit losses for loans and financial assets significantly increased, weighing heavily on bank profitability. Other income sources are expected to slow down due to lower volume of transactions, waiver of inter-branch and interbank fees as well as the temporary grace period moratorium on the imposition of bank fees, penalties and charges under the Bayanihan Act,” said the BSP. Based on the BSP survey, banks have measures to cushion the adverse impact of the pandemic on profitability such as banks’ plans to impose cost-cutting measures that includes deferred capital spending and freeze hiring of non-critical positions. The BSP said banks have also intensified loan collection activities and its loan monitoring. They have also become more prudent in loan releases, reduced the cost of funds and at the same time boosted marketing campaigns for new loans and deposits.  “Across banking groups, (the big banks) also intend to reduce their exposures to vulnerable sectors and to increase ancillary or fee-based business while thrift banks and rural/cooperative banks plan to fast track digitization initiatives to reduce operating expenses,” said the BSP......»»

Category: newsSource: NewsNov 8th, 2020

Landbank H1 agriculture loans up 3%

Government-owned Land Bank of the Philippines has increased its lending to the agriculture sector by three percent to P227.47 billion as of the end of June......»»

Category: financeSource:  philstarRelated NewsJul 21st, 2020

Banks lend P189 billion to MSMEs as compliance to reserve requirement

Loans extended by banks to micro, small and medium enterprises used as compliance with the central bank’s reserve requirement ratio amounted to P188.7 billion as of July, according to the Bangko Sentral ng Pilipinas......»»

Category: financeSource:  philstarRelated NewsAug 21st, 2021

Bank lending shrinks for 7th straight month

Loan disbursements by big banks shrank for the seventh straight month, although at a slower pace of two percent in June from four percent in May, as the spread of the COVID-19 Delta variant continued to temper outlook for economic recovery......»»

Category: newsSource:  philstarRelated NewsJul 30th, 2021

Government infrastructure spending climbs 50% in June

Infrastructure spending in June rose by more than half to P94.4 billion as the government sped up the modernization of the military and the upgrade of schools nationwide......»»

Category: financeSource:  philstarRelated NewsJul 27th, 2021

The World Bank apologizes

It is just as well that the World Bank, the Washington D.C. based multilateral financial/lending institution, has taken down a highly misleading if not insulting report on the state of Philippine education from its website. Posted last June 21, the said report entitled "Improving Student Learning Outcomes and Well Being in the Philippines: What Are International Assessments Telling Us?" essentially advised that there was a "crisis in Philippine education which started pre-pandemic but will have been made worse by the pandemic.".....»»

Category: sportsSource:  abscbnRelated NewsJul 12th, 2021

PH funds vs COVID-19 hit almost P1.5T in June

The Philippines’ COVID-19 war chest inched up to $30.45 billion, or almost P1.5 trillion, as of last month, thanks to a P505-million vaccine donation from Australia, the Asian Development Bank (ADB) said on Friday. The updated ADB COVID-19 policy database showed the Philippines’ total fiscal and monetary package as of June 28 further rose from […] The post PH funds vs COVID-19 hit almost P1.5T in June appeared first on Cebu Daily News......»»

Category: newsSource:  inquirerRelated NewsJul 3rd, 2021

DoTr execs vow free ride to continue

The Department of Transportation will tap the P3 billion funds from the Land Bank of the Philippines (LBP) to extend its P5.5. billion funding for the service contracting program for public utility vehicle (PUV) drivers after the expiration of the Bayanihan 2 Act on June 30......»»

Category: newsSource:  thestandardRelated NewsJul 2nd, 2021

Bank lending for real estate hits 3-year high

Bank exposure in the volatile real estate sector rose for the sixth straight quarter to hit a three-year high in end-June last year, and is likely to increase further after the Bangko Sentral ng Pilipinas raised the ceiling that the industry could disburse to the sector amid the COVID-19 pandemic......»»

Category: financeSource:  philstarRelated NewsMay 5th, 2021

Philippines 2nd biggest ADB loan recipient in 2020

Manila-based Asian Development Bank lent a record $31.6 billion last year to Asia Pacific governments to aid in pandemic response, with the Philippines securing the second highest lending among the countries in the region......»»

Category: newsSource:  philstarRelated NewsApr 28th, 2021

ADB targets $3.9 billion lending for Philippines in 2021

Manila-based Asian Development Bank is eyeing to lend some $3.86 billion (P187 billion) to the Philippines this year to help the country move toward economic recovery amid the pandemic......»»

Category: newsSource:  philstarRelated NewsApr 28th, 2021

Bank loans to MSMEs slump 17% in 2020

Bank loans to micro, small, and medium enterprises slumped by 17 percent to P480.5 billion in 2020 from P579.13 billion in 2019 as the sector was affected by massive shutdowns due to strict mobility and quarantine restrictions amid the pandemic, according to the Bangko Sentral ng Pilipinas.....»»

Category: financeSource:  philstarRelated NewsApr 7th, 2021

UnionBank thrift unit releases P53 billion loans for teachers, MSMEs

The thrift bank arm of Aboitiz-led Union Bank of the Philippines has extended P53.1 billion worth of loans for teachers, motorcycles as well as micro, small and medium enterprises as of end-2020......»»

Category: financeSource:  philstarRelated NewsMar 24th, 2021

Landbank OKs P62 billion lending program for LGUs

State-run Land Bank of the Philippines has set aside P62.32 billion for lending to local government units (LGUs) to help their economies recover from the impact of the pandemic......»»

Category: financeSource:  philstarRelated NewsFeb 26th, 2021

LandBank bares P2-b lending program for commercial fishers

State-run Land Bank of the Philippines said Tuesday it launched a P2-billion loan program to help commercial fishing operators to upgrade or acquire new vessels......»»

Category: financeSource:  thestandardRelated NewsFeb 17th, 2021

MSMEs urged to tap COVID-19 loans

The Department of Trade and Industry is urging micro, small and medium enterprises to avail of a lending program which has approved P2.35 billion worth of loans to help businesses recover and strengthen their operations amid the COVID-19 pandemic......»»

Category: newsSource:  philstarRelated NewsFeb 10th, 2021

P12.5 Billion Allotted For Bayanihan 2 Assistance

The Development Bank of the Philippines (DBP) acquired P12.5 billion intended for assistance to borrowers as the COVID-19 pandemic continues to affect people’s livelihood. The P12.5 billion loan relief was released today. Bayanihan 2’s validity has been extended up to June 2021 to further help people financially amid the pandemic. Aside from DBP, state-run Philippine […].....»»

Category: newsSource:  metrocebuRelated NewsFeb 6th, 2021

Landbank loans to agriculture reach P238 billion in 2020

State-run Land Bank of the Philippines’ outstanding loans to the agriculture sector reached P237.62 billion in 2020 as it intensified its lending activities and reached out to more farmers and fishers......»»

Category: financeSource:  philstarRelated NewsJan 27th, 2021