Total ALs of U/KBs and TBs as of 31 December 2003 stood at P46.8 billion, exhibiting a mere 0.4 percent (P161 million) increase from P46.7 billion last quarter. This was a measly growth compared to the 11.0 percent year-on-year growth rate (by P4.6 billion from P42.2 billion last year). The sluggish growth in ALs during the last quarter was attributed to the implementation of Republic Act No. 9224 (An Act rationalizing the excise tax on automobiles), which took effect in October 2003.
Meanwhile, the ratio of total ALs to total loan portfolio (TLP), net of interbank loans (IBL) slightly declined to 2.8 percent from 2.9 percent last quarter. This developed as TLP, net of IBL had a higher increase of 0.8 percent to P1,646.2 billion from P1,633.6 billion. This quarter’s ALs to TLP ratio, net of IBL, was a bit higher than the 2.7 percent ratio posted last year.
TBs continued to have the biggest exposure with a share of 69.9 percent of total Als. U/KBs accounted for the remaining 30.1 percent.
The ratio of past due ALs to total ALs slightly went up to 6.3 percent from 6.1 percent last quarter as past due ALs rose by 3.0 percent (P161 million). Nonetheless, both the ratio of past due ALs to non-performing loans and the ratio of past due ALs to TLP, net of IBL remained at 1.0 percent and 0.2 percent, respectively, since last year.