Development Bank
of the Philippines

Premier development financial institution in the
Philippines

One of two major policy banks

100% government-owned

Authorized capital stock of US$19.29-M

No government subsidy
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Remits at least 50% of net income to government
Development Bank
of the Philippines
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Supports the development of the Philippine economy,
via the provision of medium to long-term credit
On-lend to participating financial institutions using ODA
funds from multilateral and bilateral agencies
Undertakes investment banking, trust services, treasury
operations
Raise funds in domestic and international markets
In 2011, issued US$300-M unsecured notes,
raised Tier 2 Capital of US$132.26-M in
domestic market
Top Ranked
Philippine Bank
CAPITAL ADEQUACY RATIO
25
20
18.97
18.81
18.4
17.8
16.51
14.68
14.58
BPI
Metro
Bank
%
15
10
10% BSP Minimum
5
0
DBP
RCBC
Land Bank
PNB
China Bank
Source: Bangko Sentral ng Pilipinas Public Statement of Condition as of December 2011
Top Ranked
Philippine Bank
DBP Market Share: 5%
Source: Bangko Sentral ng Pilipinas Public Statement of Condition as
of 30 September 2011
Source: Bangko Sentral ng Pilipinas Public Statement of Condition as
of 30 September 2011
NET INCOME (2011)
US$94.10-M
Development Bank
of the Philippines
Developmental mission focused on four strategic sectors:

Infrastructure and Logistics
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Social Services
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Environment
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Micro, Small and Medium Enterprises
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Commercial Lending
Connecting Rural and Urban Intermodal
Systems Efficiently (CRUISE) program
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Umbrella program
Master plan for developmental initiatives for the
transport and logistics sector
Aligned with the Philippine Development Plan
2011-2016 for infrastructure investments,
prioritizing the creation of integrated and
multimodal national transport and logistics system
CRUISE Objectives

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Promote rural-urban integration
and physical connectivity
Support national plan to increase investments in
transport infrastructure
Promote decentralization and reduce urban congestion
Accelerate economic growth particularly in high potential
growth sectors of agriculture, industry services,
especially tourism
Leverage limited public resources for infrastructure
through Public-Private Partnerships
CRUISE
Lending Focus
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Road Transport – upgrading/paving of road network with
emphasis on local roads to and from farm areas, tourism
sites, economic zones, seaports, airports
Air Transport – investments in airport terminals,
runways, communication and navigational facilities and
equipment
Rail Transport
Light Rail – Acquisition/ upgrading of rolling stocks to
address undercapacity
Focus areas for
lending under
CRUISE
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Heavy Rail – Manufacture of rolling stock for cargo and
perishables for use in rail service along existing
alignments
Water Transport – Upgrading of domestic fleet and
upgrading / rehabilitation of seaport terminals, and
investments in cargo handling equipment
Urban Transport – Integrated Transport Terminals (bus,
jeepneys, taxis, LRT)
DBP is committed to the Philippine government’s
infrastructure development -- PPP program, or PublicPrivate Partnership program
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Major role in the syndication of loans and the raising
of funds in the capital market
Identify, develop and implement commercially-viable
infrastructure projects, by providing transaction/
financial advisory via specialized investment banking
and risk evaluation services
DBP Environment
Program
(Green Financing)
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Water treatment
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New and renewable energy
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Alternative fuel
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Rural power projects
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Solid and hazardous waste management
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Pollution control
DBP Forest
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Non-credit partnership program with communities
Identify sites for reforestation, where high-value
fruit and forest trees can be planted to save
mountains from erosion and reduce effects of
carbon emission
38 forest projects already, covering almost 6,500
hectares
Tree Plantation
Financing Program
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Credit program for expansion, harvesting, maintenance,
protection of tree plantations in private and public land
covering both lowland and forest areas
Reduce susceptibility of communities to natural disasters
Expected to boost Philippine wood-based industries and
assist communities improve their socio-economic
conditions
PPP for Boracay
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In 2009, Manila Water Company, Inc. (MWCI) and
Tourism Infrastructure and Enterprise Zone Authority
(TIEZA) entered into joint venture to form Boracay Island
Water Company, Inc. (BIWC) to address water supply and
sanitation issues
DBP on lent to privately-owned Security Bank Corp. to
support additional capital expenditures for
environmental projects in Boracay
PPP for Boracay
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Partnership initiative has given rise to a new lending
set-up on investment modality with a special cofinancing structure
Majority of funds sourced from ODA-funded
Philippine Water Revolving Fund
DBP and SBC share on a 50-50 basis in the debt
component of the US$38.16-M investment
PPP for Boracay
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BWIC has also infused an equity portion
amounting to US$5.62-M
Targets to serve the current 4,727 service connections
and meet increasing water demand
Pipelines to be extended to allow expansion of service
coverage area and provision of potable water to 1,422
additional service connections from 2010 to 2018
PPP for Boracay
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Pump stations to be upgraded, doubling their capacity
Installation of additional generator sets to
complement power requirements to ensure
24/7 operations
Improvement of sanitation and sewerage conditions,
including multi-media filtration system, portable
treatment plants, sludge dewatering facility
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Infrastructure is a key multiplier on national
competitiveness.
The Philippine government has pledged to boost
infrastructure spending
Key to sustaining infrastructure spending is tapping private
sector expertise and resources
Access to reasonable and reliable financing is essential
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Financing infrastructure development provides good growth
opportunities.
Financing infrastructure projects contributes greatly to
national development and country competitiveness.
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DBP will continue to chart
its role according to the
country’s needs
DBP to focus on building
the infrastructures for
development, where there
is plenty of room for
developmental
interventions, where DBP
can do a lot more.
DBP’s commitments is to be a catalyst
in promoting others’ participation in
development.
Our role is to work with as many
project proponents as we can.
DBP will continue to work with,
and through others, to attain
development objectives.
Thank you.