The real estate exposure of Philippine banks and trust entities edged higher to 19.61 percent at the end of June 2025 from 19.41 percent in March, the Bangko Sentral ng Pilipinas (BSP) said Sunday, driven by an increase in real estate loans.
Data from the Bangko Sentral ng Pilipinas (BSP) showed the second-quarter ratio was lower than the 19.92 percent recorded in the same period a year ago.
Loans and investments to the real estate sector grew 7.43 percent year-on-year to P3.39 trillion in the second quarter.
Real estate loans (REL) rose 8.76 percent to P3.03 trillion at end-June from P2.79 trillion a year earlier. Residential real estate loans accounted for P1.16 trillion, while commercial loans reached P1.87 trillion.
Past due real estate loans increased 10.31 percent to P155.82 billion at end-June from P141.25 billion in June 2024.
Gross non-performing real estate loans (NPREL) also rose 3.24 percent to P114.46 billion in June, but the gross NPREL ratio fell to 3.78 percent from 3.98 percent a year ago.
Meanwhile, real estate investments declined 2.62 percent to P361.37 billion. Both debt and equity securities dropped to P241.20 billion and P120.17 billion, respectively.
