The Pag-IBIG Fund board of trustees approved the dividend for members’ savings for 2021, declaring a record-high amount of over P31 billion, which will be credited directly to members’ savings accounts, top executives said Friday.
“During the Pag-IBIG chairman’s report last Feb. 24, I announced that the rates of Pag-IBIG savings remained higher than other instruments in the market. This announcement came with a caveat that these were to be approved by the board. And now, I’m happy to announce once again that the Pag-IBIG board has approved dividends for our members’ savings in the amount of P31.79 billion—the highest declared amount in the history of PagIBIG,” said Secretary Eduardo del Rosario who heads the Department of Human Settlements and Urban Development.
Del Rosario said the board also adjusted upwards the previously announced indicative rates. The final dividend rates are now 5.5 percent for the Pag-IBIG regular savings and 6 percent for MP2.
“Giving higher returns on members’ savings is part of our efforts to give the best benefit to our members, especially as they face economic challenges due to the ongoing pandemic while ensuring the Fund’s sustainability and stability,” said del Rosario who also heads the 11-member Pag-IBIG Fund board of trustees.
Pag-IBIG Fund chief executive Acmad Rizaldy Moti said the higher rates are a result of a higher dividend pay-out ratio approved by the board. He said that while the agency is required to give back to members only at least 70 percent of its annual net income as dividends, the management and the board always sought to give back more.
“Pag-IBIG Fund has always looked out for the wellbeing of our members. And when we perform well, it’s our members who benefit the most. For 2021, I’m glad to say that the board decided to retain the highest payout ratio of 92.15 percent,” he said.
“We are able to do this for the second consecutive year because of our strong financial position and improving loan portfolio despite the economic effects of the pandemic. We, the management, thank all members of the board for recognizing the Fund’s efforts to maintain a stable fund. We also recognize that the members themselves—their trust and confidence in the Fund’s programs—helped us deliver a great performance year after year. This is your Lingkod Pag-IBIG at work when you need us most,” Moti said.