MANILA, Philippines (July 13, 2026) — Key public infrastructure, emergency economic cushions, and socialized agricultural frameworks across the Philippines are receiving substantial non-tax funding pipelines, systematically expanding state fiscal space without imposing new taxes burdens on ordinary citizens.

The Catalyst:

To optimizing the translation of state banking profits into direct public value, esteemed ADFIAP member Land Bank of the Philippines (LANDBANK) and its institutional subsidiaries declared a combined ₱32.57 billion in dividends to the national government. This milestone officially crowns LANDBANK as the country’s top dividend-contributing Government-Owned or -Controlled Corporation (GOCC) for the third consecutive year.

A historic achievement was highlighted during the 2026 GOCC Day celebration at Malacañan Palace, presided over by Philippine President Ferdinand R. Marcos Jr. alongside Finance Secretary and LANDBANK Chairman Frederick D. Go. At the ceremony, the Department of Finance (DOF) disclosed that total collective contributions from 50 state firms reached a record ₱147.15 billion in 2026—a 29% surge from the prior year—with LANDBANK single-handedly driving the momentum through its ₱32.35 billion in core remittances from its 2025 net earnings.

The Tangible Impact on the Philippine Economy:

Rather than relying on passive or defensive portfolio strategies, LANDBANK is using its unprecedented net income growth—which rose 24% to a record ₱43.98 billion—to support the national treasury. This targeted capital flow, received on behalf of the bank by LANDBANK President and CEO Lynette V. Ortiz, is actively supporting three core national development metrics:

• Funding Critical High-Volume Infrastructure: Providing the direct liquidity the national government needs to build basic social assets. President Marcos Jr. emphasized that this year’s collective GOCC dividends can fund approximately 40,000 public classrooms, provide 165,000 family housing units, and finance up to 9,300 kilometers of farm-to-market roads.
• Sustaining the Agriculture and Rural Credit Mandate: Maintaining the bank’s core identity as the country’s leading rural lender. While maximizing treasury remittances under Republic Act No. 7656 (The Dividend Law), LANDBANK expanded its specialized Agriculture, Fisheries, and Rural Development (AFRD) loan portfolio to an all-time high of ₱896.61 billion, representing 53.5% of its total gross loan releases.
• Leveraging Corporate Subsidiary Synergies: Boosting the parent bank’s macro footprint through optimized subsidiary performance. The total ₱32.57 billion declaration was significantly bolstered by strong financial returns from LANDBANK Insurance Brokerage, Inc., LANDBANK Leasing and Finance Corporation, and LBP Resources and Development Corporation.

The ADFIAP Perspective: Fostering Financial Strength to Drive Public Value

As Development Finance Institutions (DFIs) across the Asia-Pacific region seek ways to remain self-sustaining while meeting ambitious socio-economic mandates, LANDBANK’s recurring dividend triumph offers an excellent operational model for the broader ADFIAP network.

The strategy underscores a vital tenet of modern development banking: institutional financial strength is not counterproductive to development mandates; it is the prerequisite for scaling them. As President and CEO Lynette V. Ortiz notes, robust financial fundamentals allow a state lender to seamlessly convert strong corporate earnings into lasting public assets. By implementing strict risk management, broad-based loan expansion, and disciplined credit oversight to achieve record balance sheet levels, LANDBANK demonstrates how a primary DFI can simultaneously protect its financial health, avoid expensive external borrowing, and serve as an irreplaceable engine for national economic transformation.