State-run lender Land Bank of the Philippines (LBP) reported a double-digit increase in terms of assets for 2020, posting a record improvement of 16.1 percent to P2.36 trillion in 2020.
LBP President and CEO Cecilia Borromeo attributed this development to higher deposits, which breached the P2 trillion mark in 2020.
“(LBP) posted marked growth in assets and deposits in 2020–a record achievement given the widespread economic impact of the health crisis,” Borromeo said.
“We will build on these gains and continue along this path to better serve our priority sectors, especially small farmers and fishers, micro, small and medium enterprises and other key development players,” she added.
According to the Bank, its deposits grew by 17.4 percent to P2.09 trillion in 2020 from only P1.78 trillion in 2019, fueled by the 41.4 percent increase in investments from P694.9 billion to P982.5 billion in the same comparable period.
The Bank’s financial ratios remained strong with its return on equity standing above the industry’s average with 10.80 percent and return on assets with 0.78 percent.
LBP’s net interest margin stands at 3.16 percent while its common equity tier 1 ratio sustained a steady year-on-year growth from 12.74 percent to 15.17 percent.
With its higher support to the agriculture sector, LBP’s total loan portfolio to farming and fishing industries expanded to P237.62 billion in 2020 from the posted P236.31 billion in 2019.
“(LBP) has also assisted cumulatively 2.67 million farmers and fishers nationwide as of end-2020, or a 133.5-percent accomplishment rate over the full-year target of two million,” the lender said.
“Of this total, 718,875 small farmers were assisted through the Rice Farmers Financial Assistance and Financial Subsidy to Rice
Farmers Programs jointly implemented with the Department of Agriculture,” it added.
Credit belongs to : www.tribune.net.ph