Updated June 29, 2023
Overview of Top Banks in Philippines
The banking sector in the Philippines plays a very important role in the country’s economic growth, and it is expanding rapidly and approaching double-digit credit growth. The banking system in the Philippines is surrounded by different types of banks like large universal banks, Small rural banks, and non Banks, and each bank is unique in its way of doing things.
The central bank of the Philippines monitors the banking sector in the Philippines (Bangko Sentral Ng Pilipinas), short called BSP established on 3rd July 1993. It monitors the banking system and forms policies for banking credit and other money matters. As per data released by BCP on 2nd Jan 2019, FDI recorded net inflows of US dollar 531 Million in November, 45.9 percent lower than the inflows posted in November 2017. The current lending rate of BSP is 5.25 percent, and the RRP rate is 4.75%. As per BCP reports, banking sectors in the Philippines sustained growth in the first quarter of 2018, and the banking system’s total assets expanded at double digits rate, whereas GDP expanded Year on Year by 6.3%. The banking system total assets expanded to P15704.4 billion as of June end 2018, which is 10.3% higher than in June 2017.
Top 10 Banks in the Philippines
1. BDO Unibank INC
It is the largest bank in the Philippines regarding assets, founded in Jan 1968. Total assets with BDO Unibank INC are 2,788,580.64 Million Pesos. It provides various banking products and services, primarily in the Philippines. It is a full-service universal bank in the Philippines. BDO has 1,200 operating branches, more than 4,000 ATMs nationwide, and a larger distribution network. BDO received many awards for product excellence from various local and international award-giving bodies. BDO Q3 2018 result shows an 18% (P8.4 Billion) hike in earnings compared to Q3 2017. Q3 2018 result also shows an increment of 15% compared to Q2 2018.
2. Metropolitan Bank & Tco
Metrobank, the second-largest bank in the Philippines, was founded in 1962. It currently holds a total asset of 1,788,686.32 Million Pesos. It offers all ranges of banking and other financial product and services. It has 950 domestic and 30 foreign branches and 2,300 ATMs nationwide. The bank’s net income at the end of Q3 is P5.7 billion, which is 55% higher than Q3 2017. According to bank disclosure, the demand is positive in the manufacturing, wholesale and retail trade, and retail estate sectors. Metrobank is the first private bank which opens its office in the USA.
3. Land Bank of the Philippines
It is found in 1963 and owned by the Philippines government, and the objective of this bank is to serve the special needs of farmers and fishermen. As of 31st December 2018, the bank has 395 branches, 44 lending centers, and 1969 ATMs nationwide. Total assets belonging to a bank are 1,771,990.65 Million Pesos. Based on unaudited data bank’s net grew by 10%, which is P15.5 billion, which was P14.1 billion in 2017. The Landbank of the Philippines recently received the BSP Best Stakeholders Awards in 2018. This bank has a strong rural Network as compared to other banks.
4. Bank of the Philippine Islands
Bank of the Philippine Islands is the first bank in the Philippines, founded in 1851, with total assets of 1,701,049.95 Million Pesos as of September 2018. The BPI bank serves a wide range of products and services to its retail and corporate clients. The bank has over 800 branches in the Philippines, Europe, and Hong Kong and 3,000 ATMs and CDMs. BPI recorded P5.98 billion of net income for Q3 2018, which is 12% higher than the same period last year. As per the AC Nielsen study, BPI has the highest rating in corporate equity among the Philippines bank and in the Philippines.
5. Philippine National Bank
It was established in 1916 as a government-owned institution to support the Philippines’ industry and agriculture and support government economic efforts. The bank has total assets of 843,332.89 Million Pesos. As of August 2018, PNB has a total of 644 domestic branches, and it recently acquired the thrift bank unit PNB Savings which has 63 domestic branches. PNB’s profit jumped 67% from January to September net income during 2018 due to its core business growth.
6. Security Bank Corp
It is an independent bank with core business in Wholesale and retail banking and financial markets and with total assets of 736,019.32 Million Pesos. Security Bank Corp recorded a P4.3 billion profit in the first half of 2018, which is 18% lower than compared to last year for the same period due to the decrease in trading gain. Security Bank has a total of 302 beaches and 713 ATMs. The Filipino and Chinese communities founded it in 1951 and currently control it. This bank remains one of the most stable banks in the Philippines today.
7. China Banking Corp
China Banking Corp, also known as China Bank, holds a prominent position as one of the leading private universal banks in the Philippines. Established in 1920, it offers all kinds of services to its institutional and individual customers. Total assets belonging to China Bank as of September 2018 are 727,706.14 million Pesos. China Bank recorded a consolidated net income of P3.6 billion from January to September 2018, which remains unchanged as compared to last year during the same period. The total number of operating branches of China Bank and China Savings Bank is 620, and they are planning to 29 more branches in 2019 to continue to expand their business.
8. Development Bank of the Philippines
It is a state-owned development Bank founded in 1947 with 632,603.68 Million Pesos of Assets. DBP reports 13% of growth in its Net income during Q3 2018 as compared to last year during the same period. DBP covered most of its fiscal target for the year and was financially stable to support various government development initiatives. DBP has a total of 127 branches and 10 lite units nationwide.
9. Union Bank of the Philippines
Landbank of the Philippines is a publicly listed universal bank, boasting a significant total asset value of 567,696.64 Million Pesos. The net income of the bank is 8% higher in Q3 2018 as compared with the previous year during the same period. As of March 2018, Union Bank has 316 Branches and 338 ATMs. Union Bank is trying to digitalize its 30 to 40 branches by year-end 2019. Union Bank won the best banking CEO awards and the most innovative bank the Year award at the European Global Banking and finance awards 2018 in June 2018 in London.
10. Rizal Commercial Banking Corp
RCBC is one of the oldest and largest conglomerates in the Philippines and South Asia covering a total of 60 businesses which includes banking, insurance, education, and construction. It is a small development bank established in 1960 with total assets of 500,845.83 Million Pesos as of September 2018. RCBC posted a net consolidated income of P3.2 billion from January to September 2018. Core income shows a jump of 42% as compared to last year during the same period. RCBC has nearly 500 branches and 1,500 ATMs nationwide. A central bank licenses RCBC for commercial and investment banking.
This has been a guide to the Top Banks in Philippines. Here we have discussed the 10 topmost banks in Philippines with their financial structure. You may also look at the following articles to learn more –