LAND BANK of the Philippines (LANDBANK) extended agriculture loans amounting to P233.6 billion in the first 10 months of 2021, with the bulk of the borrowings extended to small agri-businesses, based on a report from the Department of Finance (DoF).
At this level, the state-owned bank has already disbursed 93% of the P251.5 billion it seeks to extend to the agriculture sector for the year.
Broken down, two-thirds or P150.16 billion of the credit LANDBANK disbursed to the agriculture sector supported small, medium, and large agribusinesses, the DoF said.
Meanwhile, the state lender extended financing worth P50.52 billion for agri-aqua related projects of government corporations, while P32.92 billion were disbursed to small farmers and fishers.
LANDBANK provided financing worth P1.34 billion through direct lending to small farmers and fishers, while P31.58 billion was extended to conduits like cooperatives and farmers associations, rural financial institutions, and other credit mechanisms.
The state lender financed agri-processing and trading activities (P84.48 billion), the livestock sub-sector (P34.95 billion), crops (P17.74 billion), and fisheries (P2.43 billion) at end-October.
The bank has likewise already released the P65 million meant for agrarian reform beneficiaries, which was administered by the Department of Agrarian Reform.
In a separate statement, LANDBANK said it is also backing the government’s “Build, Build, Build” program as the bank has completed the right-of-way appraisals of 19,214 properties that are part of 142 infrastructure projects.
“LANDBANK fully supports the National Government’s ‘Build Build Build’ program by fast-tracking right-of-way acquisitions,” LANDBANK President and Chief Executive Officer Cecilia C. Borromeo said in a statement. “We will continue to contribute to the country’s infrastructure agenda to drive our ongoing economic recovery, geared towards attracting foreign investments and creating more jobs,” she added.
LANDBANK is in the process of appraising 68 projects of the Department of Public Works and Highways covering 2,513 lots, as well as four Department of Transportation projects with 999 lots and 2,989 structures or improvements.
The lender’s net income increased by 21.2% year on year to P16.72 billion at end-September. — LWTN