BAD loans logged by the Philippine banking system in October 2024 posted a 29-month high, according to the latest data released by the Bangko Sentral ng Pilipinas (BSP).
BSP data showed gross non-performing loans (NPLs) ratio was at 3.6 percent, the same rate recorded in June 2022 and the highest since the 3.75 percent recorded in May 2022.
Gross NPL amounted to P524.31 billion in October 2024 while the total loan portfolio (TLP) of the Philippine banking system reached P14.55 trillion in the same period.
The data also showed that gross NPLs ratio were at 3.47 percent in September 2024 and 3.44 percent in October 2023. The gross NPL was at P517.45 billion in September 2024 and P449.45 billion in October last year.
The TLP, based on BSP data, was at P14.9 trillion in September this year and P13.07 trillion in October 2024.
Meanwhile, the gross NPL ratio of Universal and Commercial Bank (UKBs) averaged 3.31 percent in October 2024, also a 29-month high or the highest since the 3.38 percent posted in May 2022.
The gross NPLs of UKBs amounted to P444.9 billion while the total loan portfolio of these major banks reached P13.44 trillion in October 2024.
The data showed the bad loans ratio of UKBs was at 3.18 percent in September 2024 and 3.13 percent in October 2023. These amounted to P438.52 billion in the previous month and P379.02 billion in October last year.
Thrift banks
Meanwhile, for thrift banks, the NPL ratio was at 6.84 percent in October 2024. This is lower than the 6.94 percent posted in September 2024 and 6.85 percent recorded in October last year.
Gross NPLs were at P54.34 billion in October 2024, higher than the P54.2 billion posted in September 2024 but higher than the P48.23 billion recorded in October 2023.
Meanwhile, for digital banks (DGBs), the gross NPL ratio averaged 10.57 percent in October 2024. This is the lowest in 13 months or since the 8.46 percent recorded in September 2023.
The gross NPL ratio of DGBs was 11.16 percent in September 2024 and 12.95 percent in October 2023.
BSP data showed gross NPLs of these banks reached P3.66 billion while its TLP reached P34.64 billion in October 2024.
The BSP still did not have NPL data for rural and cooperative banks as of press time.
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