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THE Pag-IBIG Fund, one of the country’s leading financial institutions and the biggest financier of housing loans in the country, continues its solid performance in stimulating the economy through its savings and housing finance systems.

For the first six months of the year, the Fund posted a net income of P4.54 billion, representing a 22 percent growth from last year’s P3.73 billion. The robust growth is primarily attributed to the increased income generated from its retail housing and multi-purpose loan (MPL) programs at 16 and 26 percent, respectively.

Total revenues climbed to nearly P8 billion. More than half of the total came from housing-related assets at P4.15 billion. Investments contributed P2.20 billion while short-term loans accounted for P1.61 billion.

Meanwhile, the assets of the corporation jumped 4.63 percent to a record level of P186.56 billion. The increase is spurred by the growth in membership contributions amounting to P3.70 billion and net earnings at P4.54 billion. Total resources are projected to reach P200 billion by year-end.

Collections for the first half of the year stood at P20.52 billion, or a 14.84 percent increase over the same period last year.

Atty. Romero Quimbo, president and CEO of the Fund, said, “we owe these solid results to our 6.3 million members across the country. Managing our members’ money in the most efficient manner is an imperative.”

The continued strong financial performance of the Pag-IBIG Fund means more benefits for its members. Nearly P20 billion in benefits was released by the Fund from January to June 2006 -- P10.62 billion for MPL, helping members address their immediate financial requirements; P7.18 billion for individual housing loan borrowers; and P2.05 billion to members who either retired or opted to get their savings.

Recently, the Fund, through its Board Chairman Vice President Noli “Kabayan” De Castro released the provident claims of OFW members who were recently repatriated from Lebanon. “We recognize the financial hardship they are facing because of job displacement,” De Castro said.

As a key enabler in home acquisition, the Pag-IBIG Fund continues to play a crucial role in pump-priming the economy. For the first six months of 2006, the direct economic contribution of the Fund grew by 8.85 percent to reach P50.66 billion. As one of the few remaining tax-paying GFIs, the Fund paid P1.24 billion in taxes to the national government during the first half of the year.

The annual net income of the corporation continues to grow over the past five years, making it one of the most profitable Philippine corporations.