PHL banks’ assets up 10.7% to P7.17T as of end-July

The Philippine banking sector grew 10. 7 percent in terms of assets as of end-July, the Bangko Sentral ng Pilipinas said Tuesday. Total assets of banks reached P7.177 trillion on July 31, up by P696 billion from P6.481 trillion a year earlier, the central bank data showed. The higher level of resources indicates that the public continues to trust the banking sector, according to the BSP. While there was a year-on-year growth, the resources of Philippine banks as of end-July eased by P139 billion or 1.9 percent from P7.316 billion as of end-June. Universal and commercial banks accounted for almost 89 percent of the total resources, with thrift, savings, and rural banks holding 11 percent, the BSP said. Assets of universal and commercial banks climbed 11.6 percent to P6.403 trillion from P5.735 trillion year-on-year last July, with that of thrift banks up by 3.8 percent to P593.9 billion from P572.4 billion. First semester data from Philippine Deposit Insurance Corp. — the latest available — showed that peso and foreign currency-denominated deposits rose 8.4 percent to P5.1 trillion from P4.7 trillion year-on-year. Savings deposits grew 12 percent and demand deposits went up by 8.5 percent, while time deposits rose by 3.9 percent. BSP Gov. Amando Tetangco Jr. said, "It is worth noting that while other markets were shrinking, the local banking industry grew." “This reflects savers’ inherent faith in our banking industry, giving banks the responsibility to safekeep hard-earned surplus funds," the BSP chief added. — VS, GMA News