Landbank remits P6B to BTr for 2012

MANILA, Philippines - State-run Land Bank of the Philippines has remitted P6 billion as cash dividends to the Bureau of the Treasury, representing 59 percent of its total earnings in 2012.

Landbank president and CEO Gilda Pico said the dividends indicate their continuing commitment to provide additional revenues to the government.

 â€œLandbank’s strong financial performance in 2012 enabled us to remit our record-high contribution to the government’s coffers. We are well-positioned for further growth and shall remain aggressive in expanding our loan portfolio to further drive support to our priority sectors,” she said.

Last year, the bank posted a net income of P10.1 billion, up 12 percent from its 2011 net income of P9 billion.

Landbank’s loan portfolio also grew to P205.3 billion from P172.1 billion in December 2011.

Under the Dividends Law of 1993, government-owned and controlled corporations (GOCCs) and government financial institutions (GFIs) are required to remit to the National Government 50 percent of their annual net earnings.

The dividend should be in the form of cash, stocks or property.

Pico said the bank’s capital reached P91.26 billion, 30 percent higher than the previous year’s P70.10 billion level.

Deposits grew significantly by 23 percent to P574.65 billion from P468.57 billion while total assets reached P737.45 billion, reflecting a 22 percent increase from P604.38 billion 2011.

Alongside its universal banking operations, Landbank remains the biggest lender to the agricultural sector.

The Landbank head said the bank’s priority sectors include  small farmers and fisherfolks, micro, small and medium enterprises, and agri- and aqua- related projects of local government units and government-owned and controlled corporations. 

The bank is present in 80 provinces of the country, with a network of 335 branches and 1,103 ATMs.

It also plays a significant role in major government programs such as the Conditional Cash Transfer, the Food Supply Chain Program, and the OFW Reintegration Program.