DBP nets P4.42B in H1, up 60%

State-owned Development Bank of the Philippines (DBP) saw its bottom line grow by double digits in the first half of 2023.

In a statement, DBP president and CEO Michael de Jesus reported a net income of P4.42 billion, up 60% from the P2.76 billion earnings it booked in the same period last year.

De Jesus said the increase was fueled largely by a hike in foreign currency profits on its foreign books and non-recurring gains from the disposal of real and other properties.

"Notwithstanding the one-time gains, overall the Bank’s performance in the first half of the year demonstrates its resilience as an institution and its readiness to support the National Government’s strategic initiatives to foster economic growth and financial stability," said the DBP chief.

The bank’s chief reported that the bank is on track to meet its full-year income target of P5.20 billion.

De Jesus said that the bank’s loans for infrastructure and logistics sectors amounted to P281.59 billion, followed by loans for social infrastructure and community development at P110.03 billion.

"A significant chunk of our loans, or about 55.5% of the Bank’s total portfolio of P507 billion, was released to bankroll public infrastructure under the banner of the national government’s ‘Build Better More’ program, the majority of which are in the National Capital Region, Central Visayas, Davao, and Central Luzon," he added. 

From January to June this year, the DBP chief said the bank provided P35.38 billion in loans for the agriculture sector, P79.93 billion for other developmental loans such as financial and insurance activities, including manufacturing, wholesale and retail trade, and food services, P54.43 billion for environment-related projects, and P30.23 billion to support micro, small, and medium enterprises.

The bank also saw 4% growth in total deposits to P760 billion due to higher term and non-term deposits.

"DBP’s position as the country’s infrastructure bank is closely aligned with our President’s vision of catalyzing progress through economic efficiency through well-planned and inclusive infrastructure development," de Jesus said.

DBP is the eighth-largest bank in the country in terms of assets.

The bank serves the financing needs of strategic and critical economic sectors, particularly infrastructure and logistics, micro, small, and medium enterprises, social services, and the environment. — VBL, GMA Integrated News