DBP pushes dev't projects in countryside

MANILA, Philippines - State-owned Development Bank of the Philippines (DBP) is ready to provide ample funds to fuel more economic activities in the countryside, its top executive said.

DBP president and chief executive officer Francisco F. Del Rosario Jr. told participants in the bank’s business outreach program in Ormoc City that there is a need to push for more development projects in the provinces particularly in priority areas such as infrastructure and logistics, environment, social services and micro, small and medium enterprises.

Del Rosario recently tendered his resignation but still serves as DBP’s CEO until a replacement is named by Malacañang.

“We are right now accelerating our pace in assisting countryside development and SMEs. This explains why we have come to Eastern Visayas, especially here to Ormoc, to share with you the good news about our development initiatives for the area,” he said.

Del Rosario said the bank has adequate funds to support these initiatives. It’s capital adequacy ratio, he noted, stands at 20.33 percent as of end-May, higher than the 10 percent requirement set by the Bangko Sentral ng Pilipinas.

The bank’s total capital stands at P39.126 billion, with total assets of P311.4 billion.

He also noted that DBP’s earnings as of June 2012 stood at P1.9 billion, higher than the P1.74 billion reported in the same period last year.

According to Del Rosario, DBP is ready to assist Ormoc City and neighboring municipalities in providing the required transportation and infrastructure through its umbrella program for transports and logistics – the Connecting Rural and Urban Intermodal Systems Efficiently (CRUISE) program.

With a fund allocation of P22 billion, CRUISE is aligned with the Philippine Development Plan 2011-2016 for infrastructure investments, which prioritizes the creation of an integrated and multimodal national transport and logistics system.

The DBP executive also took note of the bank’s green financing program that can help LGUs and industries in developing and implementing eco-friendly projects.

He said DBP can partner with water districts and the provincial government in improving the water supply in Leyte through the Philippine Water Revolving Fund, a co-financing scheme between DBP and private banks.

DBP also has an initial P5 billion for the Financing Program for the Water Sector and has set aside P600-million for the Financing Program for the Sanitation Sector that seeks to promote public health and preserve water resources.

Del Rosario said DBP also has two reforestation projects in the province -- a 185-hectare forest in Palompon, and another 200-hectare forest in Isabel.

DBP likewise has the Tree Plantation Financing Program to fund the expansion, harvesting, maintenance, and protection of tree plantations in private and public land covering both lowland and forest areas.

He said DBP has the P10-billion Financing for Public Basic Education credit program that funds land acquisition for education-related purposes and aims to improve the learning environment of public schools. The Sustainable Health Care Investment project, meanwhile, provides loans to LGUs and private health care providers for the establishment of new facilities for hospitals, clinics, health centers, laboratories and medical schools.

Del Rosario added that for the housing sector, DBP aims to increase the capacity of LGUs to deliver housing services and tap microfinance institutions and private sector groups for housing projects through its Development of Poor Urban Communities Sector project.