Banking

Philippines Banking

The banking sector in the Philippines is expanding rapidly, hitting double-digit credit growth in four of the five years in the 2013-17 period. In addition, the sector simultaneously recorded notable improve-ments across major stability indicators. The country’s banking sector is highly liquid and well provisioned, and it benefits from robust macroeconomic growth, even as excess liquidity and credit concentration in certain sectors have become a concern. All signs point to continued expansion in 2018, with non-performing loans declining in recent times as credit growth has gained momentum. Furthermore, global rating agencies have projected stable, sustainable expansion, although the sector’s outsized corporate loan portfolio leaves commercial banks – particularly creditors of large conglomerates – exposed to concentration risks. This chapter contains an interview with Nestor A Espenilla Jr, Governor, Bangko Sentral ng Pilipinas; and a roundtable with Aftab Ahmed, Country Officer, Citibank Philippines; Cecilia C Borromeo, CEO, Development Bank of the Philippines; Simoun Ung, President and CEO, OmniPay; and Edwin Bautista, President and CEO, UnionBank of the Philippines.

Cover of The Report: Philippines 2018

The Report

This chapter is from the Philippines 2018 report. Explore other chapters from this report.

Interviews & Viewpoints

Sketch of Nestor A Espenilla Jr, Governor, Bangko Sentral ng Pilipinas (BSP)
Nestor A Espenilla Jr, Governor, Bangko Sentral ng Pilipinas (BSP): Interview