Seasoned banker named new president of PDIC

MANILA, Philippines - Seasoned banker Valentin Araneta has been named new president of the government-run Philippine Deposit Insurance Corp. (PDIC) to fill up the leadership vacuum in the state deposit insurer caused by the sudden departure of former PDIC chief Jose Nograles Jr. early last month.

Sources confirmed to The STAR that Araneta would replace Nograles whose irrevocable resignation took effect last May 31.

Araneta graduated A.B. Economics in 1971, after which he took academic credits in M.A. Economics Program at the Ateneo de Manila University. He then took the Advanced Management Program at the Wharton Business School in Pennsylvania.

He began his stint at banking with the Bancom Development Corporation and has had extensive banking experience with foreign banks including Banque National de Paris.

He joined Philippine National bank in 1982 as vice president and general manager of its International Department and Finance Management Office but rapidly moved to senior executive vice president and chief operating officer in 1998.

In September 1998, Araneta joined

Great Pacific Savings Bank and became president and chief operating officer of Rizal Commercial Banking Corp. (RCBC) of taipan Alfonso Yuchengco from July 2000 to June 2003.

He is also an independent director of the Metrobank Group and First Metro Save & Learn Fixed Income Fund of business tycoon George Sk Ty since 2004.

Araneta also serves as the chairman of Islands Merchants Corp. — a Nestle distribution company for Negros Occidental and Negros Orienta — and Treasurer of the Board of Trustees of the University of St. La Salle in Bacolod City.

Nograles tendered his resignation citing policy differences with PDIC chairman and Finance Secretary Cesar Purisima.

The term of Nograles is supposed to expire in June next year as he just assumed the term of former PDIC president Mike Osmena who died in 2007 due to cancer. The president of PDIC has a fixed term of six years.

Nograles was appointed by former President and now Pampanga Rep. Gloria Macapagal Arroyo as PDIC president last January 2008. He is the brother of former House Speaker and Davao City Rep. Prospero Nograles who used to head the House contigent in the Commission on Appointments.

In February 2005, Purisima led former economic managers dubbed “Hyatt 10” who resigned en mass as they called for the resignation of then President Arroyo.