Government Banking Institution
clients, especially Small Farmers and Fishers
Government Banking in the Philippines
History, Transaction, Functions
• Land Bank of the Philippines
• Development Bank of the Philippines
• Philippine Amanah Bank
LAND BANK OF THE PHILIPPINES
The Land Bank of the Philippines is a
government financial institution that strikes a
balance in fulfilling its social mandate of
promoting countryside development while
remaining financially viable.
Over the years, LANDBANK has successfully
managed this tough balancing act as evidenced
by the continued expansion of its loan portfolio
in favor of its priority sectors: the small farmers
and fishers, a good part of which are agrarian
reform beneficiaries; micro and SMEs; agri- and
aqua-projects of local government units and
government- owned and controlled
corporations; communications, transportation,
housing, education, health care, environment-
related projects, tourism, and utilities.
LANDBANK is by far the largest formal credit
institution in the rural areas. It also ranks
among the top five commercial banks in the
country in terms of deposits, assets and loans.
VISION
By 2023, LANDBANK shall be the leading
universal bank that promotes inclusive growth,
especially in the unbanked and underserved
areas, through the delivery of innovative
financial products and services powered by
digital banking platforms.
MISSION
To our Clients and Publics, We provide
accessible and best technology solutions to
deliver timely and responsive financial and
support services to meet the needs of our
(SFF). Micro. Small and Medium Enterprises
(MSMEs), Countryside Financial Institutions
(CFIs), Local Government Units (LGUS) and
government agencies, while promoting
sustainable development anchored on good
governance.
To Our Employees:
We are the employer of choice.We develop and
nurture talents who exemplify the highest
standards of ethics, social responsibility and
service excellence. We support diversity and
cultivate a healthy work environment with
equal opportunity for professional growth and
advancement.
HISTORY
8 August 1963
Republic Act 3844 (Agricultural Land Reform
Code)
• Created the Land Bank of the Philippines (LBP)
to finance the acquisition and distribution of
agricultural estates for division and resale to
small landholders as well as the purchase of the
landholding by the agricultural lessee:
• Authorized capitalization of 1.5 billion Php.
Initial capital of 200 million Php
Members of the Board of Trustees:
• Chairman LBP President & CEO
• One member elected by the holder of
preferred shares
• 4 Members: including the Head of Land
Authority (now Dept. of Agrarian Reform
~ Tax exempt on all operations, holdings,
equipment, property, income and earnings;
~ Exempted from cash or stock dividend
payments to the National Government,
~ Agricultural Credit Administration (ACA)
responsible for extending credit assistance to
farmers cooperatives and directly to small
farmers
Landbank's creation and primary function
Landbank was formed under Republic Act 3844
or the Agricultural Land Reform Code in August
1963.
The main function of the bank is to be the
financing agency for the government's
acquisition of agricultural estates for division
and resale to small landholders, as well as the
purchase of the land-holding by the agricultural
lessee.
REPUBLIC ACT NO. 3844]
AN ACT TO ORDAIN THE AGRICULTURAL LAND
REFORM CODE AND TO INSTITUTE LAND
REFORMS IN THE PHILIPPINES, INCLUDING THE
ABOLITION OF TENANCY AND THE CHANNELING
OF CAPITAL INTO INDUSTRY, PROVIDE FOR THE
NECESSARY IMPLEMENTING AGENCIES,
APPROPRIATE FUNDS THEREFOR AND FOR
OTHER PURPOSES.
PRELIMINARY CHAPTER-TITLE DECLARATION OF
POLICY AND COMPOSITION OF CODE
SECTION 1. Title-This Act shall be known as the
Agricultural Land Reform Code.
SEC. 2. Declaration of Policy.-It is the policy of
the State:
(1) To establish owner-cultivatorship and the
economic family-size farm as the basis of
Philippine agriculture and, as a consequence,
divert landlord capital in agriculture to
industrial development;
(2) To achieve a dignified existence for the small
farmers free from pernicious institutional
restraints and practices;
(3) To create a truly viable social and economic
structure in agriculture conducive to greater
productivity and higher farm incomes
(4) To apply all labor laws equally and without
discrimination to both industrial and
agricultural wage earners,
(5) To provide a more vigorous and systematic
land resettlement program and public land
distribution, and
(6) To make the small farmers more
independent, self-reliant and responsible
citizens, and a source of genuine strength in our
democratic society
SEC. 3. Composition of Code-In pursuance of
the policy enunciated in Section two, the
following are established under this Code:
(1) An agricultural leasehold system to replace
all existing share tenancy systems in agriculture;
(2) A declaration of rights for agricultural labor,
(3) An authority for the acquisition and
equitable distribution of agricultural land,
(4) An institution to finance the acquisition and
distribution of agricultural land;
(5) A machinery to extend credit and similar
assistance to agriculture;
(6) A machinery to provide marketing,
management, and other technical services to
agriculture;
(7) A unified administration for formulating and
implementing projects of land reform;
(8) An expanded program of land capability
survey, classification, and registration; and
(9) A judicial system to decide issues arising
under this Code and other related laws and
regulations.
Development Bank of the Philippines
In the Philippines, development financing
institutions play a pivotal role in the quest for
sustainable growth and development. And at
the helm of the country's march toward
progress is the Development Bank of the
Philippines. As the country's pre-eminent
development financial institution, DBP has
taken upon itself the strategic task of
influencing and accelerating sustainable
economic growth, through the provision of
resources, for the continued well-being of the
Filipino people.
The DBP, under its new charter, is classified as a
development bank and may perform all other
functions of a thrift bank. Its primary objective
is to provide banking services principally to
cater to the medium and long-term needs of
agricultural and industrial enterprises with
emphasis on small and medium-scale industries.
HISTORY
DBP's history can be traced back during the
Commonwealth when the early infrastructure
for development financing was laid by the
government
1935- The National Loan and Investment Board
(NLIB) was created to coordinate and manage
government trust funds such as the Postal
Savings Fund and the Teacher's Retirement
Fund.
1939 The Agricultural and Industrial Bank (AIB),
which absorbed the functions of the NLIB, was
created and started to harness government
resources until the outbreak of war.
1947 - The government created the
Rehabilitation Finance Corporation (RFC) under
RA. No. 85 which absorbed the assets and took
over the functions of the AIB. The RFC provided
credit facilities for the development of
agriculture, commerce and industry and the
reconstruction of properties damaged by the
war.
1958 - The RFC was reorganized into the
Development Bank of the Philippines. The
HISTORY change in corporate name marked the
shit from rehabilitation to broader activities.
With an initial capital of P500 million subscribed
by the government, the DBP expanded its
facilities and operations to accelerate national
development efforts. This forward thrust saw
the establishment of a network of branches
throughout the country. The DBP tapped both
foreign and local fund sources to complement
its capital resources. Credits were obtained
directly from international financial institutions.
The DBP delivered to the economy substantial
benefits in capital formation, employment
generation and increased revenues, particularly
in the countryside. In the late seventies and
early eighties, however, its viability was
undermined by an increasing number of non-
performing accounts following a period of
economic difficulty:
Functions of Development Banks:
Development banks have been started with the
motive of increasing the pace of
industrialization.
The traditional financial institutions could not
take up this challenge because of their
limitations. To help all round industrialization
development banks were made multipurpose
institutions. Besides financing, they were
assigned promotional work also.
The main objectives of the program are:
• To contribute to improved environmental
quality by helping the private and public sectors
finance investments that enable them to
comply with environmental laws, regulations
and standards;
• To contribute to reducing the carbon footprint
of industrial operations and projects of both the
private and government sectors;
• To contribute to improving the adaptive
capacities of human communities to enable
them to cope with environmental hazards,
including climate-related risks, while in pursuit
of green growth
AMANAH ISLAMIC BANK

Philippine Amanah Bank

VISION

To be the leading and choice Islamic financial

institution providing alternative banking
services in response to the emerging global
Islamic markets and to promote and accelerate
the socio-economic developments of the
Islamic communities in the Philippines by 2022.

THE BANK TODAY

Al-Amanah Islamic Investment Bank of the

Philippines (AAIIBP) is a universal bank
authorized to perform and provide Islamic
banking, financing and investment services
pursuant to R.A. 6848, otherwise known as the
Charter of the Al-Amanah Islamic Bank of the
Philippines of 1990. In 2008, AAIIBP became a
subsidiary of Development Bank of the
Philippines, owning 99.9% of its capital stock,
which introduced its current logo and tag name.
"Amanah Islamic Bank".