Landbank says loans to priority sector grew 20% in Q1

State-owned Land Bank of the Philippines on Thursday said its loans in support of small farmers, fishers, and other priority sectors saw a double-digit growth in the first quarter of 2019.

At a press briefing in Manila, Landbank president and CEO Cecilia Borromeo said the lender’s loans to priority sectors during the January to March period stood at P721 billion, up 20% from P600 billion a year earlier.

Landbank’s priority sectors is comprised of small fishers and farmers; micro, small, and medium enterprises (MSMEs); agri and aqua-projects of local government units and government-owned and controlled corporations; transportation; communications; housing; education; health care; environment-related projects; tourism; and utilities.

Loans to priority sectors represent 93% of the bank’s total loans to all sectors of P778.8 billion.

“We at Landbank remain steadfast in directing support to our priority sectors, especially farmers and fishers, as we work towards making finance accessible and available to as many Filipinos as possible, especially in the countryside,” Borromeo said.

Outstanding loans to small fishers and farmers and their associations amounted to P45.3 billion, up 12% from P40.4 billion year-on-year.

Loans released to small farmers and fishers totaled P13 billion, benefiting 128,496 farmers and fisherfolks nationwide.

Meanwhile, total loans in support of agriculture and fisheries or those for LGUs’ and GOCCs’ agri-aqua projects and for agri-aqua business rose 19% to P172 billion.

Loans for LGUs’ and GOCCs’ agri-aqua projects amounted to P54.9 billion, while loans for agri-aqua business stood at P117 billion.

Landbank’s support for national government’s priority programs totaled P504 billion —comprised of P59.2 billion for housing, P44.4 billion for communications, P22.3 billion for tourism, P126.7 billion for utilities, P111.7 billion for MSMEs, P52.5 billion for transportation, P20.5 billion for health care, P9.4 billion for education, and P11.3 billion for environment-related projects.

Net income during the period reached P4.57 billion, up 12% from P4.26 billion.

The Landbank chief said the lender’s solid financial position allows it to further channel financial and technical support to farmers, fishers, and other priority sectors, especially the unbanked and underserved areas of the country. — RSJ, GMA News