Business
P136.2-B Worth of Shares Turn Over to National Government
The Land Bank of the Philippines (LANDBANK) officially turned over 1.36 billion shares of common stock worth P136.2 billion to the National Government, following the unprecedented capital infusions extended to the bank since June 2016.
President Rodrigo R. Duterte received the stock certification from Finance Secretary and LANDBANK Chairman Carlos G. Dominguez III, together with LANDBANK President and CEO Cecilia C. Borromeo, in a historic turnover event at Malacañang Palace, Manila on 21 March 2022.
They were joined by Executive Secretary Salvador C. Medialdea; LANDBANK Executive Vice Presidents Alan V. Bornas, Julio D. Climaco, Jr., Liduvino S. Geron, Carel D. Halog; and Senior Vice President Gonzalo Benjamin A. Bongolan.
Since June 2016, LANDBANK has received a total of P148.8 billion in capital infusion from the National Government as of 25 March 2022.
Of this total, P27.5 billion was infused to the B=bank in February 2021 in line with the provisions of Republic Act No. 11494 or the Bayanihan to Recover as One Act (Bayanihan 2), coupled with the conversion of the Bank’s P110 billion unrestricted retained earnings to paid-up capital in February and March 2022.
The equity infusions combined with dividend rate adjustments have improved LANDBANK’s capital Common Equity Tier 1 (CET1) ratio to 16.85% as of February 2022, to be comfortably ahead of the Basel III capital ratio requirement.
The capital infusion from the government has also solidified LANDBANK’s ranking as the second-largest bank in the country in terms of assets while boosting its capacity to service the financial requirements of key development sectors and advance greater financial inclusion.
