Finance Secretary Carlos G. Dominguez III expects the Home Development Mutual Fund, commonly known as PAG-IBIG Fund, will further boost its efforts in closing the housing gap and spur domestic activity as the government rolls out its recovery program this year.
During the presentation on Wednesday, March 3, of the PAG-IBIG Chairman’s Report for 2020, Dominguez said he expects the agency to be “even more relentless” in providing affordable housing to mostly low-income earners.
Dominguez also said that PAG-IBIG is expected to continue expanding financial inclusion among Filipinos even amidst the COVID-19 pandemic.
“We look forward to new records that the agency will achieve this year. The housing program is a key component in our economic recovery strategy. This should help create more jobs in the construction sector,” Dominguez said.
PAG-IBIG has disbursed an all-time high of P12.11 billion in housing loan in December last year alone that benefited 12,275 members.
Human Settlements and Urban Development Secretary Eduardo del Rosario is the chairman of the board of trustees of the PAG-IBIG Fund, while Dominguez is the ex-officio vice chairman.
Despite the difficulties and challenges of the past year, Dominguez said PAG-IBIG remained financially sound “and poised to contribute even more in meeting the housing needs of our people.”
PAG-IBIG reported a net income of P31.18 billion in 2020, the fourth consecutive year that it surpassed the P30-billion net income mark, which was achieved despite the pandemic.
Dominguez said PAG-IBIG’s all-time high housing disbursements do not “only show increased homeownership among Filipinos” but also “means that the Fund is able to take part in ensuring the safety of our people, especially during this time of a pandemic.”
Dominguez pointed out that PAG-IBIG’s voluntary MP2 Savings Program, meanwhile, has become popular among its members, “which underscores the trust and confidence of our people in the agency’s skills and dedication to serve its members.”
This savings program, which generated a record P13.3 billion in savings from its members last year despite the pandemic, adds to the government’s efforts to open up more investment opportunities for Filipinos, Dominguez said.
“The more small investors save their money by putting them in high-earning savings facilities such as the MP2, the closer we are to moving towards achieving President Duterte’s goal of financial inclusion and a comfortable life for all Filipinos,” he added.
The P13.3 billion saved by members under the MP2 program also represents an 11 percent increase from the savings in the previous year.
PAG-IBIG released P7.1 billion in socialized housing loans in 2020, which benefited 16,975 members belonging to the minimum-wage and low-income sectors.