Board’s Overall Responsibility

The LANDBANK Board of Directors assumes certain responsibilities to the Bank’s various stakeholders – the Bank itself, its stockholder, the National Government; its clients, its management and employees, the regulators, the deposit insurer and the public at large. These stakeholders have the right to expect that the institution is being managed in a prudent and sound manner.

The Board of Directors is primarily responsible for the approval and oversight of the implementation of the Bank’s strategic objectives, risk strategy, corporate governance and corporate values. The LANDBANK Board reviewed and approved the Bank’s Vision and Mission and Strategy Map on 13 February 2019.

The Strategy Map summarizes the specific strategic objectives and measures that will be undertaken by the Bank to attain its established targets for the year. These are consolidated in the LANDBANK Performance Scorecard and presented to the Board for approval every quarter starting in the second quarter of 2019.

In compliance with the GCG guidelines per Memorandum Circular (MC) No. 2017-02 and MC-2019-02, the Bank submits every quarter its Performance Scorecard to the GCG which monitors and validates its accomplishments vis-a-vis targets for the year. It is also responsible for the monitoring and oversight of the performance of senior management as the latter manages the day-to-day affairs of LANDBANK.

The LANDBANK Board sets the overall policies and strategic directions of the Bank, which serve as the guide of management and operating units in the day-to-day operations. Moreover, the LANDBANK Board provides the oversight functions in the overall Bank performance, and champions good corporate governance by strong adherence to ethical standards and compliance with legal, institutional and regulatory requirements. The Board also ensures that the Bank remains accountable to its various stakeholders.

All Members of the Board of Directors are expected to abide by the following:

        1. Remain fit and proper for the position for the duration of his term.
        1. Conduct fair business transactions with the Bank and to ensure that personal interest does not bias board decisions.
        1. Act honestly and in good faith, with loyalty and in the best interest of the institution, its stockholders, regardless of the amount of their stockholdings, and other stakeholders such as its depositors, investors, borrowers, other clients and general public.
        1. Devote time and attention necessary to properly discharge his duties and responsibilities.
        1. Act judiciously.  Before deciding on any matter brought before the Board of Directors, every Director shall thoroughly evaluate the issues, ask questions and seek clarifications when necessary.
        1. Contribute significantly to the decision-making process of the Board. Directors should actively participate and exercise objective independent judgment on corporate affairs requiring the decision or approval of such board.
        1. Exercise independent judgment.  A Director shall view each problem or situation objectively.  When a disagreement with others occurs, he shall carefully evaluate the situation and state his position. He should not be afraid to take a position even though it might be unpopular. Corollary, he shall support plans and ideas that he thinks are beneficial to the Bank.
        1. Have a working knowledge of the statutory and regulatory requirements affecting the institution, including the content of the LANDBANK Charter and by-laws, the requirements of the BSP, and the pertinent government agencies.
        1. Observe confidentiality. A Director should observe the confidentiality of non-public information acquired by reason of his position as Director. He shall not disclose any information to any other person without the authority of the Board.
        1. Ensure the continuing soundness, effectiveness and adequacy of the Bank’s control environment.
        1. A Director or Officer shall not solicit, nor accept, directly or indirectly, any gift, gratuity, favor, entertainment, loan or anything of monetary value (“Gift”) from any person where such Gift: (a) would be illegal or in violation of law; (b) is part of an attempt or agreement to do anything in return; (c) has a value beyond what is normal and customary in the Bank’s business; (d) is being made to influence the member of Board’s, or Officers’ actions as such; or (e) could create the appearance of a conflict of interest.
        2. Attend orientation and training. A Director shall have an adequate orientation process and continuous development and education regarding the Bank’s operations.