2013 Annual Report

I.  The President’s Report 

II.  History of Postbank

III.  Results of Operations

IV.  The Shift to the Countryside

V.  Stabilizing Banking Operations

VI.  Financial Highlights

VII.  Financial Statements


The year 2013 marks the completion of the first half of the Five-Year Strategic Plan (2012-2016) of the Philippine Postal Savings Bank.  It involved, early in 2011, management interventions aimed at addressing the effects of mismanagement and illegal acts of some staff on the financial performance of the Bank in that year.  The measures proved successful and reversed an anticipated loss into a modest profit.  In 2012, with more improvements in the organizational, operational, and financial areas, the uptrend continued, and a five-fold increase in net profit was realized.  In 2013, Postbank has virtually achieved financial and operational stability, doubling its net profit to PhP64 Million, from the previous year’s figure of PhP30 Million.

Now comes the harder part.  Postbank is now ready, and in fact will roll out its major programs at the start of 2014.  These are bannered by our pioneering Micro Banking Office (MBO) Project which, in a synergistic collaboration with the Philippine Postal Corporation and its 1,500 Post Offices, will initiate the creation of a countrywide network of micro financing units to provide the rural sector with access to much-needed financial services.

This project could not have come at a more opportune time, as it does on the heels of major calamities which have all but flattened a wide swath of the Philippine countryside—ground zero of the project’s target beneficiaries.  It also comes at a time when the government is vigorously pushing its financial inclusion program which aims to allow the countryside to share in the benefits of the country’s economic miracle with the rest of the nation.

A hundred years is a long time for an institution to try to prove itself.  It is now time for the Bank to fulfill the expectations and the trust and confidence of so many who have reposed upon it a significant role in the country’s rural banking system.

President & CEO