Landbank named top GOCC in 2022

MANILA, Philippines — The Land Bank of the Philippines secured the highest rating among state agencies in terms of corporate governance last year.

The Governance Commission for GOCCs (GCG) recently recognized state corporations for their outstanding disclosure practices and performance ratings in 2022.

Landbank emerged on top with a corporate governance scorecard (CGS) rating of 102.5. A total of 13 GOCCs entered the top 10.

The CGS is an evaluation tool which assesses the corporate governance initiatives of GOCCs through a methodology benchmarked against international practices.

These initiatives include stakeholder relationships, disclosure and transparency, and responsibilities of the board, among others.

At second and third place are pension funds Social Security System (102.19) and Government Service Insurance System (102.08), respectively.

Another state-run financial institution, Development Bank of the Philippines (DBP), came in fourth with a rating of 100.

Meanwhile, the Bases Conversion and Development Authority (BCDA) and the Clark Development Corp. were tied at fifth place with a score of 99.

The other GOCCs that made it to the top 10 include the John Hay Management Corp., LBP Insurance Brokerage Inc., Philippine Reclamation Authority, Cebu Port Authority, National Home Mortgage Finance Corp., LBP Resources and Development Corp., and the National Electrification Administration.

The BCDA, DBP, and GSIS also received the CGS Hall of Fame Award. These GOCCs were the first to receive the distinction for consistently being in the top 10 of CGS ratings since 2017.

Meanwhile, Executive Secretary Lucas Bersamin emphasized the critical role of the GCG as the oversight body of GOCCs.“GCG’s corporate governance policies strengthen the values and governance culture in every GOCC,” he said.

The Performance Evaluation System of the GCG is the process of appraising the accomplishments of GOCCs in a given fiscal year based on a set of performance criteria, targets, and weights reported in a performance scorecard.

Landbank posted a record net income of P31.85 billion from January to September, breaching the P30 billion mark booked at the end of 2022.

The profit during the nine-month period was 24 percent higher than the P25.7 billion recorded in the same period last year.

It also exceeded the bank’s target of P26.3 billion for the first three quarters by P5.6 billion, and represents 90.9 percent of the P35 billion full-year target for 2023.