BSP Gov. Amando M. Tetangco, Jr. announced that outstanding loans granted by Foreign Currency Deposit Units (FCDUs) of banks amounted to US$7.1 billion at the close of 2011, reflecting an increase of US$501 million (7.6 percent) from the end-September 2011 level of US$6.6 billion. Loan transactions resulted in net loan disbursements of US$535 million (excess of disbursements over repayments) due to the favorable interest rate environment as well as positive business sentiment. Year-on-year, an expansion of 20.9 percent (US$1.2 billion) in the loan portfolio was noted as disbursements exceeded loan repayments.
The maturity profile of outstanding FCDU loans was as follows: medium- to long-term (MLT) loans [or those payable over a term of more than one (1) year] represented 59.5 percent of total, while short-term (ST) accounts [or those with original maturities of up to one (1) year] represented the 40.5 percent balance.
Loans to resident borrowers (mainly from the private sector) reached US$5.8 billion and represented about 82.4 percent of the total portfolio.
Gross disbursements during the quarter amounted to US$3.7 billion, up by 3.0 percent from the previous quarter’s level. About 79.3 percent of the new loans had short-term maturities. Major loan releases went to the following sectors: public utilities, financial services and producers/manufacturers.
FCDU deposit liabilities dipped by 1.6 percent to US$24.2 billion from the end-September 2011 figure. The bulk (97.5 percent) of these deposits continued to be held by residents. The overall loans-to-deposits ratio increased from 26.7 percent in September 2011 to 29.2 percent by year-end due to the growth in loans vis-à-vis the lower level of deposits.