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LANDBANK credit support to PH coconut sector reaches P4.27 billion


July 29, 2021

The Land Bank of the Philippines (LANDBANK) continues to extend available and responsive credit assistance to coconut farmers and other industry stakeholders engaged in the production and processing of coconut-based products.

Under its Coconut Production and Processing Financing (Coco-Financing) Program, which has been in place since 2015, LANDBANK has cumulatively released P4.27 billion in loans that supported a total of 16 borrowers and 2,601 coconut farmer-beneficiaries.

The borrowers are composed of six (6) large enterprises/corporations, four (4) small and medium enterprises (SMEs), three (3) cooperatives, two (2) associations and one (1) non-governmental organization (NGO)—of which nine (9) have outstanding balance of P1.78 billion.

The LANDBANK Coco-Financing Program was developed to finance projects such as planting or replanting, rehabilitation, fertilization and processing of coconuts and its by-products.

As of June 30, 2021, LANDBANK’s total loans to the agriculture sector reached P223.02 billion. Of this amount, P17.39 billion supported crop production of which P340 million covered financing for the coconut industry.

Positive outlook on the UCPB merger

LANDBANK remains optimistic in managing the implications of its impending merger with the United Coconut Planters Bank (UCPB) to its financial profile, as it looks ahead in providing more support interventions for the Philippine coconut sector.

Based on LANDBANK’s projections on the merger, Common Equity Tier 1 (CET1) ratio by end-2021 will remain higher than the 11% regulatory requirement of the BSP. CET1 ratio is used to measure a bank's core equity capital, compared with its total risk-weighted assets, and signifies a bank's financial strength.

The Bank also maintains it is more than capable of absorbing the financial impact of the merger since the acquisition of the shares of stock and attendant absorption of UCPB’s assets and liabilities will similarly expand deposits, loans, and capital.

Projections from LANDBANK indicate that the combined resources of the state-run banks will amount to almost ₱3 trillion in assets by the end of the year, further solidifying LANDBANK’s position as the second-largest bank in the country in terms of assets.

President Duterte has issued Executive Order No. 142 on June 25, 2021, authorizing the merger between LANDBANK and UCPB, where LANDBANK will be the surviving entity.

“The mandate of LANDBANK has continuously evolved over the years. Aside from assisting farmers of palay, coconut and other crops, fishers, and all stakeholders in the agri-business value chain, LANDBANK has become a reliable contributor to the National Government’s development agenda towards supporting other key economic sectors that promote nation-building. LANDBANK’s merger with UCPB only enhances our capacity to serve the whole agriculture sector and the nation at large,” said LANDBANK President and CEO Cecilia C. Borromeo.

Interested borrowers of the LANDBANK Coco-Financing Program may contact the nearest open LANDBANK Lending Center or Branch nationwide, or call LANDBANK’s customer service hotline at (02) 8-405-7000 or at PLDT Domestic Toll Free 1-800-10-405-7000.

For more updates, please follow the official LANDBANK Facebook, Instagram and YouTube accounts (@landbankofficial), and Twitter (@LBP_Official); join our Viber community (@LANDBANK); or visit the LANDBANK website (www.landbank.com).


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LANDBANK backs Philippine Army co-op with P10-B loan line

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LANDBANK Mobile App gets account-opening upgrade; usage up 96% in Q1 2024

Customers can now open a Land Bank of the Philippines (LANDBANK) savings account completely online via smartphones, as the Bank continues to serve the growing preference of customers for digital solutions and promote financial inclusion.  LANDBANK has upgraded its Mobile Banking App (MBA) with a new straight-through account opening feature which allows customers to open a digital account instantly from anywhere, at any time, without visiting a LANDBANK Branch.  Through the MBA, customers can open a LANDBANK PISO Plus basic deposit account, a regular LANDBANK Visa debit account, and the new GoBayani savings account designed for overseas Filipinos, to help build their savings and start their financial journey.  To open a LANDBANK account, interested clients need only their smartphones downloaded with the latest version of the LANDBANK MBA, a secure internet connection, and any valid identification card such as a Philippine Passport, Driver’s License, SSS, UMID, PRC ID, or PhilSys ID. "We are dedicated to continue expanding our digital offerings to bring more Filipinos into the financial mainstream. Opening a LANDBANK account has never been easier, and we hope more customers can get to experience the benefits of our convenient and secure banking services," said LANDBANK President and CEO Lynette V. Ortiz. The LANDBANK MBA is a free application that offers seamless and convenient online fund transfers, bills payments, balance inquiries, and salary loan services.  Using the MBA, LANDBANK customers also enjoy free fund transfers to other banks via InstaPay and PESONet for the first three transactions in a day worth P1,000 and below. Q1 2024 Digital Banking Performance The LANDBANK MBA recorded a remarkable 96% increase in usage during the first three months of 2024, as transactions soared to 20.9 million from 10.7 million recorded in the same period in 2023.  Fund transfers and bills payment transactions drove the transaction volume growth, as the MBA generated a 42% increase in total transaction value or P89.3 billion compared to P63 billion last year. The LANDBANK MBA also led the 63% growth or a total of 30.79 million transactions across all of the Bank’s major digital channels, reaching P1.95 trillion in total transaction value.  The state-run Bank’s other digital channels include iAccess, an online retail banking channel; corporate internet banking platform, weAccess; web-based payment channel, Link.BizPortal; real-time web-based remittance system for overseas Filipinos, i-Easy Padala; alternative payment channel, Electronic Tax Payment System (eTPS); facility for institutional clients and national government partners, Electronic Modified Disbursement System (eMDS); and electronic bulk disbursement facility, Bulk Crediting System (LBCS).  LANDBANK remains committed to enhancing its digital infrastructure to deliver seamless banking experiences and meet the evolving needs of customers. ABOUT LANDBANK LANDBANK is the largest development financial institution in the country promoting financial inclusion, digital transformation and sustainable development to benefit Filipinos. The Bank is present in all 82 provinces in the country, committed to providing accessible and affordable financial support to key players and industries as part of its broader thrust of serving the nation.  

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LANDBANK clinches int’l awards for rural electrification, financial inclusion

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