As of end-June 2008, the automobile loans (ALs) of universal/commercial banks (U/KBs) and thrift banks (TBs), inclusive of non-bank subsidiaries reached P79.1 billion, up by 3.3 percent from last quarter. Meantime, the proportion of ALs to total loan portfolio (TLP), net of interbank loans went down to 3.4 percent from last quarter’s 3.6 percent ratio.
The report did not present comparative year-on-year figures due to the recent change in financial reporting. Beginning Financial Reporting Package (FRP) report as of end-March 2008, ALs are now defined as ALs to individuals for consumption purposes as against ALs granted to individuals and corporate accounts in prior periods.
TBs (inclusive of TB subsidiaries of U/KBs) took the lion’s share of the total ALs at 58.1 percent. U/KBs held 40.4 percent while subsidiary NBFIs accounted for the remaining 1.5 percent.
The non-performing ALs to total ALs ratio settled at 5.1 percent, favorably down from last quarter’s 5.6 percent. The improvement in the ratio from last quarter transpired as the 5.2 percent drop in non-performing ALs to P4.0 billion came with the growth in ALs. Prior to end-March 2008, computation of delinquency was Past Due plus Items in Litigation. Effective end-March 2008, computation of delinquency is Past Due and Already Non-Performing plus Items in Litigation based on the new FRP.
Meanwhile, the non-performing ALs to total non-performing loans (NPL) ratio eased to 3.0 percent from last quarter’s 3.2 percent. On the other hand, the non-performing ALs to TLP ratio was maintained at 0.2 percent.