DBP H1 income up

The Development Bank of the Philippines (DBP) recorded a net income after provisioning of P899 million in the first semester reflected that bank’s attitude towards ensuring its ability to cope with any problems. It has the highest coverage ratio among the country‘s commercial banks (private or GFI) of 72 percent versus industry average of 57 percent.

"We sacrificed recorded huge net income figures for sufficient protect and coverage," DBP president and chief executive officer Simon R. Paterno said. The government financial institution realized a net income before loan loss provisioning of P1.529 billion in the first six months of 2004.

Past due ratio stood at 11.97 percent end June versus the industry average of 13.5 percent.

Total deposits stood at P32 billion while total loan portfolio stood at P80 billion divided into P45 billion for retail lending and P35 billion for wholesale.

Full year 2004 net income target is P2 billion from last year’s P1.8 billion.

Meanwhile, DBP has a total of P74.26 billion in fresh and existing funds from multilateral and bilateral funding agencies, which will be re-lent for various development funds. Fresh funds amounted to P45.26 billion while existing funds stood at P29 billion.

Most of the funds would find its way to projects in infrastructure, environment, small and medium enterprises, large industries, housing, power, agri-business and agri-industries, and private sector borrowings.

The Japan Bank for International Cooperation (JBIC) extended P17 billion under its JBIC 6 program for private sector investments in infrastructure, information technology, utilities, transportation, tourism, education and healthcare. – Ted Torres