Pag-IBIG Fund expects to hit P9-B this year
by Prix D Banzon
Davao City (20 December) -- The Pag-IBIG Fund is looking at continuous growth in net income this year which is expected to hit P9 billion in 2006, a growth potential of 21 percent compared to last year's income.
Pag-IBIG Fund vice president and chief executive officer Jaime A. Fabiana said that with the membership level already reaching the 6.4 million mark as of October 2006, the estimated year-end income is the highest so far made by the Fund.
By monthly comparison, he said that as of October 2006, an 18 percent increase had been noted or an income of 7.50 billion compared to the same period last year at P6.34 billion.
He said they noted an upward trend of net income growth for the last five years from as low as P2.73 billion in 2000.
The continued increase, he said makes Pag-IBIG Fund as among the country's top ten corporations both government and private.
In 2005, it landed only 8th in rank but higher than Bank of the Philippines Islands as the 9th placer and Ayala Corporation, 10th.
Topping the list is National Power Corporation followed by Smart Telecommunications, Inc. then Philippine Long Distance Telephone Company, Pilipino Telephone Corporation, Chevron Malampaya Corporation, PNOC Energy Development Corporation, and Globe Telecom, Inc. in that order.
The Fund also declared highest dividends of P5.54 billion and has increased mandate from 70 percent to 75 percent with dividend rate at 4.5 percent earning.
With regards housing loans in terms of end-user financing, there was a three percent increase as of October 2006 with P13.10 billion which financed some 26,899 housing units.
The annual growth rate for the last five years from 2000 to 2005 was pegged at 30.23 percent, he said.
He said the Fund is continuously searching for better ways to serve the members not only in the housing loans that they may use for acquiring residential house and lot but also for home improvement, refinancing of an existing loan or other similar programs.
The Pag-IBIG Multi-Purpose Loan on the other hand aims to provide financial assistance to members for minor home improvement, livelihood, medical, educational, purchase of appliances and other needs. (PIA XI) [top]