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The Pag-IBIG Fund Board of Trustees, chaired by Vice President Noli De Castro, approved and declared P6.18 billion as dividends for the year 2006. The amount comprises 80 percent of the Fund’s P7.7 billion net income last year.

According to Pag-IBIG Fund President and Chief Executive Officer, Atty. Romero F.S. Quimbo, “this amount breaks the record previously set by the Fund in the past year, as it represents the biggest dividend in our 26-year history.”

Quimbo further adds that the 2006 dividend comprises the largest ever percentage cut from the Fund’s net income distributed to its members, leading to a dividend rate of 4.81 percent. The said amount will be credited proportionately to the members’ total accumulated savings. The Pag-IBIG Fund Charter provides that it should distribute at least 70 percent of its annual net income as dividends to its members.

Dividend levels have been increasing for the last seven years, posting P1.81 billion in 2000, P3.44 billion in 2001, P3.74 billion in 2002, P4.21 billion in 2003, and P4.85 billion in 2004. In 2005, the Fund gave out 75% of its income as dividends, amounting to P5.54 B.

The steady increase in annual dividends signifies the Pag-IBIG Fund’s continuous growth and stable financial standing, backed by its proven track record as a key player in housing finance.

“More effective collection procedures and more efficient fund management resulted to the Fund’s profitability. More income for the Fund eventually leads to higher dividends and better services for our 6.48M members worldwide,” Quimbo said.

To beef up its reserves, Pag-IBIG Fund issued this month the “Pag-IBIG Housing Bonds, series 2007”, or the Kaunlaran ng Bayan Bonds, with an aggregate issue size of P2 Billion.