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Philippines:
Not a Priority
Snapshot: 27 banks in the 500 (1999: 27) Assets: $56.4b.
($53.2b.) Profits: $155m. ($438m.)
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Slower
than anticipated economic recovery, political concerns and a shortage
of quality borrowers have weighed heavily on Philippine banks. On
the other hand, reasonably strong export figures and a bulging current
account surplus make many believe the market has been given short
shrift.
RESTRUCTURING The Philippines still has too many small, undercapitalized
or just-plain weak institutions. The central bank has made noises
about the benefits of consolidation, but the voice sounds a little
squeaky in a nation wracked by bombings, kidnappings and typhoons.
LENDING There was virtually no growth in corporate lending
in the first half of this year. That probably won't change in the
next few months. None of the large blue chip companies are borrowing
and oft-burned bankers are loathe to lend to weaklings.
REGULATION Capital requirements and banking regulations have
been strengthened since the Crisis but in terms of weak banks, the
Philippines has no rival except, of course, Indonesia.
Performance
Topnotchers: 10 Best Performing Banks
|
Institution |
HQ |
Assets
$
Mill |
Profits
$
Mill |
Profit
as
% of |
500
Rank
|
Assets |
Equity |
1 |
METROPOLITAN
BANK & TRUST |
Manila |
10,018 |
77.5 |
0.8% |
6.9% |
176 |
2 |
EQUITABLE
PCI BANK |
Manila |
6,321 |
52.0 |
0.8% |
4.6% |
227 |
3 |
BANK
OF THE PHIL. ISLANDS |
Manila |
5,732 |
100.0 |
1.7% |
13.4% |
244 |
4 |
PHILIPPINE
NATIONAL BANK |
Manila |
5,010 |
-244.9 |
|
|
264 |
5 |
LAND
BANK OF THE PHILIPPINES |
Manila |
4,937 |
15.6 |
0.3% |
4.4% |
266 |
6 |
FAR
EAST BANK & TRUST |
Manila |
3,404 |
15.0 |
0.4% |
3.1% |
304 |
7 |
RIZAL
COML. BANKING CORP. |
Manila |
3,096 |
10.1 |
0.3% |
2.8% |
314 |
8 |
UNITED
COCONUT PLANTERS BANK |
Manila |
2,798 |
18.6 |
0.7% |
6.1% |
325 |
9 |
ALLIED
BANKING CORP. |
Manila |
2,356 |
18.1 |
0.8% |
5.5% |
349 |
10 |
CHINA
BANKING CORP. |
Manila |
1,820 |
20.2 |
1.1% |
7.3% |
362 |
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Rating
show the number of banks in each category; "E" is the lowest
grade for financial soundness.
Souce: Moody's Investors Service
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