PhilGuarantee Honors Top 10 Bank, Developer Partners
In appreciation of their invaluable contribution to housing finance, the Philippine Guarantee Corporation (PhilGuarantee) held an awarding ceremony to honor its top 10 most notable partners in 2019.
The event, conducted at the Philamife Tower in Makati on February 26, 2020, gathered nine banks and one developer, which, together, have contributed a total of P49.98 billion worth of guarantee enrollments for housing loans last year, as follows: BPI Family Savings Bank, Inc.; BDO Unibank, Inc.; Philippine Savings Bank; Security Bank Corporation; RCBC Savings Bank; Asia United Bank Corporation; China Banking Corporation; PNB Savings Bank; EastWest Banking Corporation; and the lone developer, Cityland Group.
In his welcome address, PhilGuarantee President and CEO Alberto E. Pascual emphasized the importance of strengthening public-private partnerships and the role of bank financing in nation-building.
For years, the housing sector has been facing a great challenge sustaining an ever-increasing backlog, which, at present already stands at over six million. Without significant developments, this number is projected to rise to more than 22 million by 2040.
As the government couldn’t close the housing gap alone, PCEO Pascual urged the banks and developers to continue supporting Filipino families in acquiring their dream home.
Through its partnership with the private sector, PhilGuarantee is able to promote homeownership and maintain a sustainable housing finance program in the country.
This was echoed in the response of Consumer Lending Group Head Rommel S. Latinazo of RCBC Savings Bank, saying that through its partnership with PhilGuarantee, the bank’s housing loans enable Filipinos to acquire their homes faster since they do not need to buy them in cash.
Also present in the ceremony was Treasurer of the Philippines Rosalia V. de Leon, who, in 2018, was tasked by Department of Finance Secretary Carlos G. Dominguez to lead the merger of Home Guaranty Corporation and the Philippine Export-Import Credit Agency, renamed as the Philippine Guarantee Corporation. The guarantee functions, programs, and funds of the Small Business Corporation and the administration of the Agricultural Guarantee Fund Pool and the Industrial Guarantee and Loan Fund were also transferred to the PhilGuarantee.
Treasurer de Leon expressed that with the merger, the PhilGuarantee is now “ready to embark new heights with renewed vigor and financial strength,” adding that the guarantee institution can cover P258 billion worth of housing loans translating to 250,000 housing acquisitions in the next three years.
The merger also authorized PhilGuarantee higher capitalization and bigger guarantee capacity to support the now one-stop shop credit guarantee institution for micro, small and medium enterprises (MSMEs), agriculture, crops and livestock, livelihood, commercial and industrial enterprises, and housing. “A comprehensive guarantee mechanism for nation-building,” Treasurer de Leon concluded.
Author: Kris Gebilaguin