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DBP nets P5.6B in 2022, up 50%

State-owned lender Development Bank of the Philippines (DBP) saw its full-year bottom line grow by 50% last year, on the back of higher lending activities amid the full reopening of the economy from the pandemic.

In a statement, DBP said it posted a net income of P5.61 billion in 2022 from P3.74 billion in 2021.

The lender said its financial performance last year was attributed to an increase in loan volume and interest income combined with prudent management of interest expense in spite of the rise in loan loss provisioning.

“This resurgent financial performance of DBP enhances its inherent strong capacity to support the national government’s goal of promoting sustainable and equitable economic growth in the country, through the provision of vital financial support to various socio-economic initiatives, particularly on infrastructure development,” said DBP president and chief executive officer Michael de Jesus

The state bank’s total loans grew 12% to P527 billion, from P469.40 billion recorded in 2021, with the bulk of releases amounting to P297.14-billion channeled to projects in the infrastructure and logistics sector, which represent 56% of its total loan portfolio.

Meanwhile, DBP’s outstanding loan portfolio in 2022 amounted to P105.91 billion for projects under the social infrastructure and community development sector, and P70.04-billion for loans to other developmental projects which include financial and insurance activities, manufacturing, wholesale and retail trade, accommodation, and food services.

“DBP’s outstanding loans for environment-related projects totaled P54.62 billion, P32.14-billion for the MSME sector, and about P45.58-billion for projects in the agriculture sector in line with the food sufficiency program of the National Government,” said de Jesus.

For her part, DBP officer-in-charge for operations first vice president Christine Mota said the state bank exceeded its net income target of P3.85 billion by 46%, “which attests to the bank’s lofty position as one of the most financially stable government financial institutions in the country.”

DBP is the eighth largest bank in the country in terms of assets and provides credit support to four strategic sectors of the economy – infrastructure and logistics; MSMEs; the environment; and social services and community development.

It has a network of 132 branches and 15 branch lite units. —VAL, GMA Integrated News

Tags: DBP, Economy