The Philippine Postal Savings Bank (Postbank) is set to mount fresh initiatives aimed at maintaining its momentum after posting a significant growth in 2015, its top official said in a statement.
“The year 2015 marked another milestone for Postbank. We take pride not only in achieving healthy growth but more importantly in achieving our goals to serve the unbanked and underserved, and ion the process help alleviate poverty, and push for inclusive growth and financial inclusion,” said Cesar N. Sarino, president and CEO, following the bank’s 110th founding anniversary.
In a report to its stakeholders, clients and staff, Postbank said that in 2015, the bank registered P134 million net income against P123 million in 2014, for a 9 percent increase.
Loans increased to P6.4 billion in 2015 from P5.7 billion in 2014, or a 12 percent increase.
Total resources grew to P12 billion in 2015 compared to P9 billion in 2014 for a 33 percent growth.
From 2011 to 2014 Postbank saw exponential growth in net income, and generated threefold increases in loans, amid challenges and stiff competition, Sarino said.
Higinio C. Fabian, Executive Vice President of Postbank’s Branch Banking Group, credits the bank’s sound financial performance to effective cost management and thru aggressive income generation from various sources.
“Of the P790 million total revenues, a big portion came from the Bank’s core business, including loans to Micro, Small, and Medium Enterprises (MSMEs) which increased by P302 million and loans to private corporations which grew by more than P500 million,” said Fabian.
Apart from lending to MSMEs, Postbank beefed up its microfinance operations and extended its services to the underserved sector – micro-entrepreneurs, farmers, fisherfolks, and those in the transport sector.
Awarded an ISO 9001:2008 Certification for its Quality Management System by German Group TUV Rhineland, the Bank continues to undergo structural and functional changes to ensure that it delivers quality service expected from a government financial institution.
Some of its structural changes covered areas such as risk management, credit analysis and evaluation, product services development, and strengthening treasury operations.
To ensure fast and efficient banking operations, new core banking systems, i.e., Accounting System, Loan Management System, and Deposit System will be in full swing in 2016.
With 25 branches and six Micro-Banking Offices across the nation, Postbank hopes to make banking services friendlier to clients with installation of more ATMs in off-site locations to expand its network.
In 2016, Postbank hopes to fully flex its muscle amid competition by reaching out to those who have no access to credit, and providing retail lending in underserved municipalities.
“We shall continue to deliver our mandate and be an active player in alleviating poverty, reducing unemployment, improving basic service delivery and sustaining the environment. We are ready to face competition from the expected influx of multinational banking institutions,” said Sarino.