The Land Bank of the Philippines (LANDBANK) defended its financial management record by citing an unmodified audit opinion for 2025 and ₱98 billion in dividends remitted to the national government over three years, following reports on findings by the Commission on Audit (COA).
The state-owned bank said it continued to work with COA to address audit observations and strengthen its systems and controls, adding that it had “consistently received an unmodified opinion for its audited financial statements,” including for 2025.
LANDBANK remitted ₱32.12 billion in dividends in 2024, ₱33.53 billion in 2025 and ₱32.35 billion in 2026. It said it had been the government’s top dividend-contributing government-owned and controlled corporation for three consecutive years and was among the top awardees at the 2025 Governance Commission for GOCCs Awards.
The statement responded to five news articles by Bilyonaryo and Bankero citing observations in LANDBANK’s annual audit reports for 2024 and 2025. The bank said the reports also contained its explanations, responses and corrective actions.
LANDBANK attributed a ₱7.1-billion increase in personnel expenses to authorized compensation adjustments and other benefits for more than 12,000 employees, including retirement obligations. It said compensation was governed by the Compensation and Position Classification System approved by the Governance Commission for GOCCs, under which the bank is classified in the top category.
The bank’s ₱1.24-billion investment in preferred shares of Metro Rail Transit Line 3 remains classified as fair value through profit or loss under Philippine Financial Reporting Standards, but its fair market value has yet to be determined. LANDBANK said it was seeking information from external parties to support the valuation.
On ₱244.86 million in dormant or unclaimed deposit balances cited by COA, LANDBANK said the amount “was not reported as missing, lost, or improperly withdrawn” and remained classified as deposit liabilities. It added that it had implemented a system enhancement to address the observation.
LANDBANK said a contractor’s increased credit line under its former BUILDERS Program was processed under applicable policies and guidelines. It added that it had strengthened credit evaluation, documentation and monitoring procedures under its NEXTBUILD Lending Program.
Regarding its Expanded Rice Credit Assistance program under the Rice Competitiveness Enhancement Fund, the bank said an arrangement adopted in 2021 addressed COVID-19 restrictions and logistical constraints.
Farmers executed special powers of attorney and remained individually accountable for their loans, it said. LANDBANK described the matter as isolated and said it had strengthened controls over loan releases, documentation, validation and deviations from program procedures.
The bank said “public discourse is best served by reporting and presenting issues with accuracy and fairness,” adding that sensationalized headlines and unsupported inferences could undermine institutional credibility.
An unmodified audit opinion does not, by itself, establish that every audit observation has been resolved. LANDBANK did not specify when the MRT-3 valuation would be completed.
Ortiz-led LANDBANK defends financial management, cites clean audit opinion amid COA findings
Ortiz-led LANDBANK defends financial management, cites clean audit opinion amid COA findings
