Search

IN FOCUS
RETAIL BANKING | Staff Reporter, Philippines
Published: 14 May 12
756 views


Philippine banks outdid regional rivals in 2011

The Philippines’ central bank claims the country’s banks did better than most of its Southeast Asian rivals.

As a result, the Bangko Sentral ng Pilipinas, the central bank, said that given their strong metrics in 2011, Philippine banks are expected to remain stable despite a worsening recession in the Eurozone.

The central bank’s latest “Status of the Philippine Financial System” report said key indicators showed further strengthening of banks’ balance sheets with positive growth in assets, loans, deposits and capital.

Banks remained profitable and provided positive returns to shareholders on account of cost-efficient operations, the central bank said. It noted that local banking indicators were better than those of other banking sectors in Southeast Asia.

Combined resources of Philippine banks hit US$179 billion in 2011, up 5% from the previous year’s US$170 billion. The rise in resources was driven by the increase in deposits and profits.

Combined net incomes of banks jumped to US$2.3 billion last year, a rise of 15% from US$1.97 billion the previous year.

The average non-performing loan ratio of universal and commercial dropped to the region of 2% last year to match levels seen prior to the Asian financial crisis of 1997.

The average capital adequacy ratio stands at some17%, which is above the minimum requirement of 10% set by the central bank. A CAR of at least 8% is considered suitable under international standards.



Sign up for our newsletter

 

Do you know more about this story? Contact us anonymously through this link.

Click here to learn about advertising, content sponsorship, events & rountables, custom media solutions, whitepaper writing, sales leads or eDM opportunities with us.

To get a media kit and information on advertising or sponsoring click here.

Tags: Philippine banks, Bangko Sentral ng Pilipinas, Status of the Philippine Financial System

LATEST RETAIL BANKING JOBS »
PRINT ISSUE »

Subscribe Now
China moves from WMPs to AMPs

54 views

The yin and yang of Qianhai

36 views

Malaysian SMEs snub hedging products

39 views

close Don't Show Again

STAY INFORMED! Get our free weekly newsletter