View source for Development Bank of the Philippines

{{short description|Bank in the Philippines}}
{{more citations needed|date=May 2017}}
{{Use mdy dates|date=November 2022}}
{{Use Philippine English|date=November 2022}}
{{Infobox company
| name = Development Bank of the Philippines
| logo = DBP company logo.svg
| logo_alt = Logo of DBP
| logo_size = 120px
| image = DBP Building.jpg
| image_caption = DBP Head Office at [[Gil Puyat Avenue]] corner [[Makati Avenue]], [[Makati]]
| image_size = <!-- 260px -->
| type = [[Government-owned and controlled corporation|Government]] [[financial institution]]
| industry = [[Development finance]]
| key_people = {{plainlist|
* Philip G. Lo, ([[Chairman]])
* Michael O. de Jesus ([[President (corporate title)|President]] and [[Chief Executive Officer|CEO]])<ref>{{cite news|url=https://www.dbp.ph/about-dbp/board-of-directors-management/|title= DBP Board of Directors / Management|date=January 23, 2023|work=DBP Website|access-date=January 23, 2023}}</ref>
}}
| services = Financial Services
| net_income = {{Philippine peso|5.60 billion|link=yes}}  (2019) <ref name="DBPAnnualRep">{{cite press release|title= DBP Annual Report|url=https://www.dbp.ph/wp-content/uploads/2020/12/Dec21_DBP-2019-AR-final_uploading_compressed.pdf|access-date= February 2, 2021}}</ref>
| assets = {{Philippine peso|1.04 trillion}} (2020)<ref name="DBP breaches trillion peso asset mark; loans rise 19 percent">[https://www.dbp.ph/newsroom/dbp-breaches-trillion-peso-asset-mark-loans-rise-19-percent/  DBP breaches trillion peso asset mark; loans rise 19 percent]. Retrieved December 7, 2021</ref>
| foundation = {{Start date and age|1947|1|2}} in [[Manila]], [[Philippines]]
| location = [[Makati]], [[Philippines]]
| homepage = {{URL|https://www.dbp.ph}}
}}

The '''Development Bank of the Philippines''' ('''DBP''') is a state-owned [[International financial institutions|development bank]] headquartered in [[Makati]], [[Philippines]]. It is primarily tasked to provide banking services to cater to the needs of agricultural and industrial enterprises.<ref>{{Cite web|url=https://www.dbp.ph/about-dbp/ |title=About DBP |access-date=September 27, 2022}}</ref> It has 146 branches including 14 branch lite units.<ref>{{cite web |url=https://www.dbp.ph/newsroom/dbp-branch-in-cagayan-de-oro-moves-to-a-more-strategic-location/ |title=DBP branch in Cagayan de Oro moves to a more strategic location |access-date=June 14, 2024 |publisher=DPB}}</ref>

It was established after [[World War II]] in 1947 on the government's effort through its mandate to rebuild the country's war-torn infrastructure. It focuses on four major areas of financing — infrastructure and logistics, social services, small and medium enterprises, and the environment.<ref>{{Cite web|url=https://www.dbp.ph/about-dbp/dbp-profile/|title=Profile|website=Development Bank of the Philippines|language=en-US|access-date=April 16, 2019}}</ref>

{{As of |2023}}, it was the eighth-largest bank in the Philippines in terms of assets.<ref>{{cite web|url=https://www.bsp.gov.ph/Statistics/Financial%20Statements/Commercial/assets.aspx |title=Ranking as to Total Assets |website=bsp.gov.ph |date=March 31, 2023}}</ref><ref>{{Cite web|url=https://www.dbp.ph/newsroom/dbp-2018-net-income-hits-p-5-72-billion/|title=DBP 2018 net income hits P5.72-billion|website=Development Bank of the Philippines|date=April 5, 2019 |language=en-US|access-date=April 16, 2019}}</ref> DBP is also the second-largest and one of the state-owned and controlled banks along with [[Land Bank of the Philippines]] (LBP), [[Overseas Filipino Bank]] (OFW Bank), and [[Al-Amanah Islamic Bank]]. As a GOCC ([[Government-owned and controlled corporation|Government Operated and Controlled Corporation]]), DBP is required to declare and remit at least half of its annual net earnings to the National Government.

==History==
[[File:4099Barangays of San Fernando City, La Union 22.jpg|thumb|A DBP branch in [[San Fernando, La Union]]]]
[[File:Catanduanes Old Capitol Building (Rizal Avenue, Virac, Catanduanes; 04-09-2024).jpg|thumb|A DBP branch in [[Virac, Catanduanes]]]]

DBP's history can be traced back to the [[Commonwealth of the Philippines|Commonwealth Era]]. In 1935, the National Loan and Investment Board (NLIB) was created to coordinate and manage various government trust funds such as the Postal Savings Fund and the Teacher's Retirement Fund.<ref>{{cite web |title=Commonwealth Act No. 7 |url=https://www.officialgazette.gov.ph/1935/12/31/commonwealth-act-no-7/ |website=[[Official Gazette of the Republic of the Philippines]] |access-date=3 August 2023 |archive-url=https://web.archive.org/web/20230803193943/https://www.officialgazette.gov.ph/1935/12/31/commonwealth-act-no-7/ |archive-date=3 August 2023 |date=31 December 1935}}</ref>

In 1939, the NLIB was abolished and its functions were transferred to a new body, the Agricultural and Industrial Bank (AIB).<ref>{{cite web |title=Commonwealth Act No. 552 |url=https://issuances-library.senate.gov.ph/legislative%2Bissuances/Commonwealth%20Act%20459 |website=Senate Legislative Digital Resource |publisher=[[Senate of the Philippines]] |access-date=3 August 2023 |archive-url=https://web.archive.org/web/20230803194150/https://issuances-library.senate.gov.ph/legislative%2Bissuances/Commonwealth%20Act%20459 |archive-date=3 August 2023 |date=May 26, 1940}}</ref> AIB continued operations until the outbreak of [[World War II]].

In 1947, the government created the Rehabilitation Finance Corporation (RFC) under Republic Act No. 85 which absorbed the assets and took over the functions of the AIB. The RFC provided [[Credit (finance)|credit]] facilities for the development of agriculture, [[commerce]] and [[Industrial sector|industry]] and the reconstruction of properties damaged by the war.<ref>{{cite web |title=Republic Act No. 85 |url=https://elibrary.judiciary.gov.ph/thebookshelf/showdocs/2/22149#:~:text=%E2%80%94To%20provide%20credit%20facilities%20for,the%20Rehabilitation%20Finance%20Corporation%2C%20which |website=Supreme Court E-Library |publisher=[[Supreme Court of the Philippines]] |access-date=3 August 2023 |archive-url=https://web.archive.org/web/20220902181015/https://elibrary.judiciary.gov.ph/thebookshelf/showdocs/2/22149 |archive-date=September 2, 2022 |date=October 29, 1946}}</ref>

In 1958, the RFC was reorganized into the modern-day DBP. The change in corporate name marked the shift from rehabilitation to broader activities.<ref>{{cite web |title=Republic Act No. 2081 |url=https://elibrary.judiciary.gov.ph/thebookshelf/showdocs/2/11056 |website=Supreme Court E-Library |publisher=[[Supreme Court of the Philippines]] |access-date=3 August 2023 |archive-url=https://web.archive.org/web/20220902134946/https://elibrary.judiciary.gov.ph/thebookshelf/showdocs/2/11056 |archive-date=September 2, 2022 |date=June 14, 1958}}</ref>

With an initial [[Financial capital|capital]] of {{Philippine peso|500-million|link=yes}}, DBP set to work on expanding its facilities and operations to accelerate efforts towards promoting national economic development. The bank established a nationwide branch network and tapped local and foreign resources to complement its capital. It also borrowed money directly from international finance institutions.

In the late 1970s up to the early 1980s, however, its viability was undermined by numerous non-performing accounts.

In 1986, President [[Corazon Aquino]] issued Executive Order No. 81, which reorganized the bank and gave it a new charter.<ref>{{Cite web|url=https://www.officialgazette.gov.ph/1986/12/03/executive-order-no-81-s-1986/|title=Executive Order No. 81, s. 1986 {{!}} GOVPH|website=Official Gazette of the Republic of the Philippines|date=December 3, 1986 |language=en-US|access-date=April 16, 2019}}</ref> All non-performing assets and liabilities were subsequently transferred to the government. DBP undertook an institutional strengthening program, including a thorough revision of its credit process, as well as employee training programs towards the intensive implementation of its new lending thrusts. DBP likewise reopened its lending windows for housing, agriculture and SMEs.

In 1995, DBP was granted an expanded banking license and attained universal banking status.

President [[Fidel V. Ramos|Fidel Ramos]] signed Republic Act No. 8523 in 1998, amending DBP's 1986 charter. Among the major provisions incorporated in the new DBP charter were the increase of authorized capital stock from {{Philippine peso|5-billion}} to {{Philippine peso|35-billion}}, and the creation of the position of President and CEO.<ref>{{cite web |title=Republic Act No. 8523 |url=https://www.officialgazette.gov.ph/1998/02/14/republic-act-no-8523/ |website=[[Official Gazette of the Republic of the Philippines]] |access-date=3 August 2023 |archive-url=https://web.archive.org/web/20230803193727/https://www.officialgazette.gov.ph/1998/02/14/republic-act-no-8523/ |archive-date=3 August 2023 |date=14 February 1998}}</ref>

In February 2016, President [[Benigno Aquino III]] approved the merger of DBP with state-owned [[Land Bank of the Philippines]], pending approval from the Bangko Sentral ng Pilipinas (BSP) and written consent of the Philippine Deposit Insurance Corporation. A few months later in September under the administration of newly-elected [[Rodrigo Duterte]], such had been cancelled for implementation by the Governance Commission for GOCCs (GCG).<ref>{{Cite news|url=https://newsinfo.inquirer.net/813359/duterte-administration-stops-dbp-landmark-merger|title=Duterte administration stops DBP-Land Bank merger|last=Vera|first=Ben O. de|newspaper=Philippine Daily Inquirer|language=en|access-date=April 16, 2019}}</ref> By 2023, two presidents later under the administration of [[Bongbong_Marcos|Ferdinand "Bongbong" Marcos Jr.]], the idea of such merger is again on the cards, with target completion around middle of 2024.<ref>{{Cite news|url=https://news.abs-cbn.com/business/07/10/23/dof-eyes-completion-of-dbp-landbank-merger-by-mid-2024|title=DOF eyes completion of DBP-Landbank merger by mid-2024|last=Pascual|first=Jekki|newspaper=ABS-CBN News Online|language=en|access-date=November 10, 2023}}</ref> However, as of early October 2023, the BSP says that they still haven't formally received an application for the merger.<ref>{{Cite news|url=https://news.abs-cbn.com/business/10/11/23/no-application-yet-for-landbank-dbp-merger-bsp|title=No application yet for proposed Landbank-DBP merger: BSP|last=Vicencio|first=Lady|newspaper=ABS-CBN News Online|language=en|access-date=November 10, 2023}}</ref> Finance Secretary [[Ralph Recto]] later announced in February 2024 that the proposed DBP-Landbank merger is no longer pursued.<ref>{{cite news|url=https://business.inquirer.net/445282/its-official-no-more-dbp-landbank-merger|title=It’s official: No more DBP-Landbank merger|first=Ian Nicolas|last=Cigaral|date=February 14, 2024|accessdate=May 25, 2024|work=Philippine Daily Inquirer}}</ref>

==Organization==
The affairs and business of DBP are directed and its properties managed and preserved, and its corporate powers exercised by a board of directors consisting of nine members, all appointed by the President of the Philippines. The term of office of the chairman, president and the members of the board of directors are for a period of one year or until such time as their successors are appointed.

The chairman of the board is appointed by the President of the Philippines from among the members of the board: provided, that the positions of chairman of the board and president of DBP are not to be held by the same person.

The DBP chairman presides at meetings of the board, while the president of the bank serves as vice-chairman of the board, and as such, assists the chairman and acts in his stead in case of absence or incapacity.

The chief executive officer of DBP is the president, who is elected by the board of directors from among themselves with the advice and consent of the President of the Philippines.  The DBP president shall, among other powers and duties, execute, carry out and administer the policies, measures, orders and resolutions approved by the board; direct and supervise the operation and administration of the bank; and exercise such other powers and perform such other functions or duties as may be assigned to him by law or by the board from time to time.

The DBP board of directors provides for an organization and staff of officers and employees of the bank and upon recommendation of the DBP president, fix their remuneration and other emoluments. All positions in the bank are governed by the compensation, position classification system and qualification standards approved by the DBP board of directors based on a comprehensive job analysis of actual duties and responsibilities.

==Key officials==
The key officials of the bank include:<ref>{{Cite web|url=https://www.dbp.ph/about-dbp/board-of-directors-management/ |title=Board of Directors / Management |publisher=Development Bank of the Philippines |access-date=September 27, 2022}}</ref>

* Philip G. Lo – Chairman
* Michael O. de Jesus – President and Chief Executive Officer
* Roberto V. Antonio – Director
* Emmeline C. David – Director
* Wilma T. Eisma- Director
* Victor Alfonso A. Limlingan  – Director
* Jaime Z. Paz – Director

==Subsidiaries==
DBP subsidiaries and affiliates include:
* [[Al-Amanah Islamic Investment Bank of the Philippines]]
*DBP Leasing Corporation
*DBP Data Center, Inc.
*DBP Management Corporation

==See also==
{{Portal|Banks}}
* [[List of banks in the Philippines]]
* [[Land Bank of the Philippines]]
* [[BancNet]]
* [[List of national development banks]]

==References==
{{reflist}}

==External links==
* {{Official website|https://www.dbp.ph/}}
* {{Commons-inline}}

{{Banks of the Philippines}}
{{Makati CBD}}

{{authority control}}

[[Category:Banks of the Philippines]]
[[Category:National development banks|Philippines]]
[[Category:Government-owned and controlled corporations of the Philippines]]
[[Category:Companies based in Makati]]
[[Category:Makati Central Business District]]