MANILA, Philippines — State-run Home Development Mutual Fund (Pag-IBIG) released a record P24.2 billion in housing loans in the first quarter, carrying over the momentum it gained from its record-high issuances in 2021.
Pag-IBIG said loans extended to home buyers increased by nearly 16 percent from P20.94 billion a year ago as the number of members who benefited increased by seven percent to 22,210.
Of the total amount, at least seven percent or P1.78 billion of the total loans came in the form of socialized home loans released to 4,114 low-income and minimum wage workers.
Housing Secretary Eduardo del Rosario said Pag-IBIG’s strong start for the year proves that the economy may be well on its way toward recovery.
Del Rosario said the record-high release in the first quarter means that Filipinos are looking to accomplish their dreams of owning a house that the pandemic derailed.
“Our strong start this year means that more Filipino workers have been helped by the Pag-IBIG Fund in acquiring their own homes. The sustained growth in our home loan disbursements also contributes to the economy, as we continue to help our members and the country recover from the pandemic,” Del Rosario said.
The Philippine economy recovered by 5.7 percent last year to offset the worst decline of 9.6 percent in 2020, and the government expects a seven to nine percent growth in 2022 on the back of revenge spending and work resumption.
For his part, Pag-IBIG CEO Acmad Rizaldy Moti said the agency eyes to build on its momentum from last year when it hit a record P100.8 billion in home loans issued. He vowed that Pag-IBIG will keep interest rates low for its financing packages to be affordable to low-income members.
“Our performance in the housing loan front is an indication of the trust of our members in our program. More importantly, our record-high numbers show the increasing number of Filipino workers we have enabled to have homes on their own,” Moti said.
According to Moti, Pag-IBIG intends to keep loan interest rates low to help more Filipinos become homeowners.
Savings made in Pag-IBIG jumped by around 26 percent to a record P63.67 billion in 2021, from P48.18 billion in 2020, as about one million members started contributing again to the fund after recovering their jobs with quarantine restrictions lifted.
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The article was originally published in PhilStar Global and written by Elijah Felice Rosales.
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