nexus88 gaming DoF: Landbank, DBP financially strong despite Maharlika investments

Department of Finance

MANILA, Philippines — The Department of Finance (DoF) urged Congress to speed up the approval of bills that would tweak the charters of the two state banks so they can finally go public and help replenish their capital following their hefty contributions to Maharlika Investment Corp. (MIC).

In a statement on Thursday, the DoF said it will continue advocating for congressional approval of amendments to the charters of the Land Bank of the Philippines (Landbank) and the Development Bank of the Philippines (DBP).

Article continues after this advertisement

A key feature of these amendments is enabling the banks to access private capital by offering a portion of their shares to the public. Both banks are proposed to increase their authorized capital stock offering to the public.

FEATURED STORIES BUSINESS BIZ BUZZ: Trouble brewing in Alabang BUSINESS Record high: Naia passengers topped 50M in 2024 BUSINESS Petron eyes more auto service facilities

“Additionally, the proposed amendments to Landbank’s charter include a provision to streamline the bond issuance process, similar to that of DBP,” the DoF explained.

“This change would allow the banks to access capital more efficiently, reducing their reliance on national government support or dividend relief,” it added.

Article continues after this advertisement

The DoF issued the statement a few days after the International Monetary Fund (IMF) urged the government to swiftly restore the capital of Landbank and DBP and for the two lenders to protect local financial stability.

Article continues after this advertisement

The IMF also said the state banks must exit regulatory relief as soon as possible to promote a level playing field for the rest of the domestic banking sector, which are required to maintain a certain level of capitalization.

Article continues after this advertisement

Both Landbank and DBP hold significant shares in MIC, the start-up company managing the country’s nascent sovereign wealth fund. The banks had remitted to the Bureau of Treasury their combined P75-billion contribution, representing 60 percent of the P125-billion initial capitalization of MIC.

rose slots

In the same statement, the DoF said Landbank and DBP still maintained their “strong financial position.”

Article continues after this advertisement

“Both state banks have consistently met and exceeded the minimum requirements of the Bangko Sentral ng Pilipinas (BSP) for Capital Adequacy Ratio (CAR), which is a critical benchmark of financial health,” it said.

Your subscription could not be saved. Please try again. Your subscription has been successful.

Subscribe to our daily newsletter

Data from the NDA shows that the country’s milk supply is 99 percent imported, while a study presented at the conference found that the Philippine dairy market grew by 10.2% in 2022 with growth projected to remain in double digits.

The latest PSA data released on Tuesday showed a -1.0 percent drop in August, compared to -0.4 percent in July and -0.2 percent in June.

SIGN ME UP

By providing an email address. I agree to the Terms of Use and acknowledge that I have read the Privacy Policy.nexus88 gaming

READ NEXT Commercial fishing in municipal waters will affect small fishe... DTI updates licensing scheme for vape products EDITORS' PICK Vegas Tesla blast suspect shot himself in head: officials EDITORIAL: No dodging accountability ‘Chinese’ drone retrieved from Masbate waters piques Navy As PBA enters 50th year, will four-point shot stay? Morisette’s film ‘Song of the Fireflies’ to make Hollywood debut at MIFF Cloudy Friday in parts of Luzon; fair weather in Visayas, Mindanao MOST READ Cebu mayor challenges Comelec disqualification ruling Darryl Yap says ‘The Rapists of Pepsi Paloma’ is a 'truthful revelation’ BIZ BUZZ: Trouble brewing in Alabang Budget allocations worry private sector, teachers Follow @FMangosingINQ on Twitter --> View comments

• nexus88 gaming
• DOF
• LandBank
• DBP
• financially