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THE Pag-IBIG Fund, one of the country's leading government financial institutions and the biggest financier of the government's housing program, topped its accomplishments the previous year and posted new record-high figures.

The Fund registered a net income of P7.38 billion in 2005, a hefty 14 percent increase from 2004's P6.47 billion. "This is the highest income ever made by Pag-IBIG in its history," said Pag-IBIG president and CEO Atty. Romero F. S. Quimbo. Meanwhile, its total assets reached P178.30 billion last year, a nine-percent increase over the P163.60 billion level in 2004.

The continuing up trend in the Fund's performance is a result of synchronized institution-wide efforts. In recent years, the Fund carried out measures which enhanced its collection program. "With our intensive collection campaign, supported by an improved IT system, we recorded in 2005 the biggest collection level in the Fund's 25-year history."

Collections for the year stood at P37.27 billion, 14 percent higher than the Fund's collection of P32.57 billion in 2004. Contributions from Pag-IBIG's 6.04 million members, amounted to P13.04 billion, while those from short-term loans are 20 percent higher than the 2004 level, totaling P11.89 billion. On the other hand, collections from end-user housing loans were recorded at P12.34 billion, and for institutional loans, P1.45 billion. "We expect to generate more revenues in 2006 with our tie-up with private and public banks for the use of their electronic payment facilities," Atty. Quimbo added.

As a result of the efficient administration of members' contributions, the Fund set two all-time record highs under its housing and short-term loan programs. Quimbo said, "we granted P14.40 billion worth of individual housing loans and lent out P18.51 billion in short-term loans." Nearly one third of Pag-IBIG members or more than 1.3 million individuals benefited from this short-term loan program.

The vigorous performance of the Fund in the past year means greater benefits for its members nationwide. "We expect to declare at least P5.54 billion in dividends to our members, or an increase of 14.23 percent over the P4.85 billion we gave in 2004," Quimbo explained.

Under the law, the Pag-IBIG Fund is required to set aside an amount equivalent to no less than 70 percent of its annual net income and declare this as dividends, later credited proportionately to the members' total savings.

Once again, the Fund's consistent outstanding financial performance earned for the agency a spot among the top ten biggest earning Philippine corporations for the year. It is only one of the few GFIs that conscientiously pay taxes. Last year, the Fund remitted almost P2 billion (P1.90B) in taxes and subsidies, with the corporate income tax accounting for P726.50 million.

Philratings Inc., the premier rating agency in the country, recognized the financial soundness of the Pag-IBIG Fund last year. Philratings gave the Fund a rating of Aaa- corporate rating, the highest given to any government agency. In the past four years, Philratings has given Aaa- (corp) to only two other companies in the Philippines.

VP Noli De Castro, concurrent chairman of the Pag-IBIG Fund Board of Trustees, hailed the Fund's 2005 performance. "Unlike other government corporations and institutions that are facing controversy, the Pag-IBIG Fund continues to remain a model of sound management and good governance."