BPI Family Savings loan portfolio surpasses 2015 target

MANILA, Philippines - BPI Family Savings Bank has reported a 19-percent growth in its total loan portfolio of P206 billion at the end of 2015, surpassing its original target of P200 billion.

In 2004, loan books were valued at P173 billion.

In the 2010-2015 period, the portfolio’s compounded average growth rate hovered over 20 percent.

BPI Family Savings Bank senior vice president Cristina L. Go said that mortgage loans accounts for a little over half of portfolio.

“But the SME loans, which includes the Ka-Negosyo loans, accounts for 22 percent of total portfolio, sticking very close to the 25 percent share of auto loans,” Go pointed out.

In terms of growth rates, both auto and SME loans grew by similar pace of 20 percent.

Mortgage loans grew by 17 percent, and personal loans by 30 percent.

Ka-Negosyo loans are basically franchise accounts or lending in collaboration with accredited franchises like Jolibee Foods Corp.

But majority of the SME loans are entrepreneurs and new businesses.

Go said there are lot of interest in the health care business including hospitals and clinics. Majority of the hospitals are in areas outside Metro Manila where the gap between hospital beds and the population is still very wide.

Some of the clinics are those located in high-traffic areas like malls.

Other areas getting a fair share of business loans are in the tourism industry, small-scale manufacturers, transportation, agriculture-related such as millers and contract growers, retailers, traders, machine tools, and real estate developers.

“There are a lot of start-up businesses run by young professionals who are former employees, fresh graduates and other millenials,” the thrift bank executive said.

Meanwhile, BPI Family Savings is tasked to open 20 new branches this year, adding to its existing 143-network nationwide.

BPI Family Savings Bank is the leader in the country’s thrift banking sector in terms of assets, gross loans, deposits, capital, and the second largest branch network.