The Development Bank of the Philippines (DBP) earned P6.09 billion net in 2009, almost double than that of the preceding year’s P3.6 billion and the highest recorded in its 63 years, announced President and CEO Reynaldo G. David.

“Our 17% Return On Real Equity validates the quality of work and the kind of projects we’re doing.”

For 2009, DBP is paying P2.5 billion dividends, “the highest ever paid by this institution,” to the national coffers, increasing its total cash dividends remitted to the national government from 2001-2009 to P11.4 billion.

“Over the years, DBP continued to gain financial strength but more so, during the decade that just passed,” he explained.

“DBP’s growth is evidenced by its solid balance sheet and strong bottom line. From a paid-up capital of merely P2.5 billion in 1986, when DBP was recapitalized to enable it to break out of its troubled past, today its total net worth stands at P40 billion as a result of earnings generated over the years of P49.7 billion.”

From these earnings, DBP remitted P18.2 billion cash dividends to the National Treasury. “If we were to mark to market our various hard assets today, DBP would have another P6 billion in additional equity reserves. Without taking into account our franchise value, our strong infrastructure, and goodwill, DBP’s market value today is easily P50 billion,” he reckoned.

In addition, DBP has paid a total of P24.3 billion taxes to the Bureau of Internal Revenue (BIR) since 1986. The bulk, 75% of these taxes, were remitted during the term of President Gloria Macapagal Arroyo.

As of year-end, the state bank’s total assets stood at P292 billion, up from P263.25 billion in the comparative period. Capital adequacy ratio was at 21% while available funds for lending totaled P74.4 billion.

DBP contributed to the Arroyo administration’s Ten-Point Agenda primarily in four major areas – infrastructure and logistics; social services initiatives such as schools and hospitals; empowerment of micro, small and medium entrepreneurs and environmental protection.

Soon, the bank plans to construct a “green building” using green architecture natural lighting, green walls and water conservation features, solar power harvesting, green roofing and a storm drainage system, at The Fort Bonifacio Global City in Taguig.

However, the biggest chunk of DBP’s P167.01 billion total loan portfolio was appropriated to developmental initiatives. Its Sustainable Logistics Development Program (SLDP) funded P13.42 billion projects to acquire Roll-On, Roll-Off (RORO) vessels, upgrade ports, develop shipyards and maritime schools.

SLDP aims to connect the country’s over 7,000 islands via sea lanes as the major arteries of trade, bringing down the cost of goods through a modern storage, handling and transport system.

Already, “Through the Road RORO Terminal System (RRTS), DBP has connected our major islands through 20 RORO routes, financing 28 vessels and 12 port projects since 2001,” David noted.

“In 2008, DBP acquired the National Maritime Leasing Corporation (renamed as DBP Leasing Corporation or DBLPC) to develop more RORO routes. Today, DBPLC owns 7 vessels, with 2 more coming this year, which are all currently under lease. This move allowed us to develop 20 missionary routes.”

Furthermore, DBP supported P6.07 billion worth of environment projects, benefitting 95 accounts in new and renewable energy, solid waste management, cleaner technology, pollution control and abatement.