THE HOME Development Mutual Fund (Pag-IBIG Fund) expects its 2020 net income to have exceeded its earlier estimate of P28 billion as members paid their loans despite the ongoing pandemic.
Pag-IBIG Fund Chief Executive Officer Acmad Rizaldy P. Moti said in a briefing on Friday that its cash flows were “better than expected” in 2020. It projected a net profit of P25 billion to P28 billion last year.
“Mukhang mas mataas pa po sa P28 billion ang ating net income at gusto ko pong magpasalamat sa lahat ng ating mga housing loan borrowers na kahit po may grace period sila ay minabuti po nilang patuloy na magbayad po para po mas mayroon po tayong mapapautang muli sa ating mga ibang miyembro (It looks like our net income will be higher than P28 billion and I thank all the housing loan borrowers for paying their dues, even with the grace period, so we can lend to other members),” Mr. Moti said.
Mr. Moti said loans declined by 27% to P63.7 billion in 2020.
He noted that its cash position means there is no need to proceed with this year’s scheduled monthly contribution hike of P50 for each member. Pag-IBIG Fund last month deferred the increase in the monthly contributions of its members to next year.
Mr. Moti said Pag-IBIG Fund’s board will decide on a further deferment based on this year’s borrowings. — GMC