The Development Bank of the Philippines (DBP) is expanding its development lending portfolio to P88.6 billion, or 93 percent of its projected P95.3 billion total loan portfolio for 2008, announced President and CEO Reynaldo G. David. This is a considerable increase from the preceding year’s P72 billion, or 88 percent of its total P82 billion portfolio.
DBP’s top priority, the infrastructure and logistics sector, which the bank supports via its flagship initiative, the Sustainable Logistics Development Program (SLDP), stands to benefit most from the move.
"We intend to attain a 90:10 ratio of development and commercial loans this year by focusing even further on the developmental lending side," he explained. Commercial loans, which amounted to P9.58 billion in 2007, is projected to go down to some P6.7 billion this 2008.
"We are confident we can improve on our showing last year and continue to be an efficient partner of the national government in spurring progress in the countryside."
Of the P2.6-billion SLDP projects in the pipeline for this year, two are under the Roll-On, Roll-Off Terminal System (RRTS) worth P154 million; two are in Grains and Cold Chain facilities worth P1.3 Billion and five are in regular shipping worth P1.2 billion.
DBP is providing critical support for the state’s infrastructure program based on the super region framework. The bank will also re-focus its microfinance and SME thrusts, prioritizing 33 unserved areas in Mindanao through the One Town, One Product Program of the Department of Trade and Industry.
Aside from the SLDP, the bank has three other priorities: environmental projects – water, solid waste management, pollution control and power; social services – health care, education and community development; and micro plus Small and Medium Enterprises – loans and technical assistance.DBP has P45.73 billion in available funds, the bulk, or P21.3 billion, are for SMEs; P9.22 billion, for other industrial projects; P7.64 billion for environment; P6.33 billion for infrastructure and logistics and p1.24 billion for social services.
Source: Manila Bulletin Online, by Emmie V. Abadilla, 21 March 2008