Land Bank of the Philippines (LandBank), a state-run bank, expressed its satisfaction with the upgrade of its outlook by Fitch Ratings from negative to stable, considering it as a vote of confidence in the bank’s financial stability and resilience.
Fitch also affirmed the bank’s long-term issuer default ratings at “BBB” (investment grade) and government support rating at “bbb”.
The agency acknowledged LandBank’s strategic and growing policy roles, its 100-percent state ownership, and its significant market share of about 14 percent of system assets.
Fitch also took into account the state’s improved ability to support the bank, reflected in the revision of the sovereign rating outlook to stable.
Bankero and LandBank’s President and CEO, Lynette Ortiz, emphasized the bank’s commitment to supporting the country’s priority programs and initiatives with solid state backing.
LandBank is the second-largest bank in terms of assets and deposits, maintaining healthy financial ratios and achieving a net income of P10.8 billion in the first quarter of 2023.
The bank’s capital has also expanded, and it remains confident in reaching its growth targets by year-end.
With a focus on digitalization, LandBank experienced a 30-percent growth in the value of transactions on its major digital banking platforms during the first quarter of 2023.
Additionally, the bank serves as the primary development partner for local government units nationwide, maintaining deposit accounts for all 1,717 LGUs.
