MANILA, April 17 (PNA) — Deposits in the Philippine banking system grew to Ph8.5 trillion in 2014, up 12 percent from Php 7.6 trillion in 2013.
Data from the Philippine Deposit Insurance Corp. (PDIC) showed that of the Php 8.5 trillion in total deposits, deposits in commercial banks accounted for 90.1 percent (Php 7.7 trillion); thrift banks, 8.2 percent (Php 699.9 billion); and rural banks, 1.7 percent (Php 144.5 billion).
Deposits in commercial banks grew by 12.3 percent while deposits in thrift and rural banks recorded growth rates of 9.9 percent and 6.5 percent, respectively.
By account type, savings deposits constituted 39.4 percent (Php 3.4 trillion) of total deposits, followed by time deposits at 23.9 percent (Php 2 trillion). Demand/NOW and FCDU deposits comprised 20.1 percent (Php1.7 trillion) and 16.7 percent (Php 1.4 trillion), respectively.
All account types posted double-digit growth rates.
FCDU deposits outpaced all other deposits, increasing by 23.6 percent compared to savings and demand/NOW deposits, which grew by 11.1 percent and 10.1 percent, respectively and time deposits at 8 percent.
The increase in deposits may be attributed to the expansion of branch network across all bank types.
As of end-2014, total banking offices (head offices and branches) stood at 10,041, an increase of 9.3 percent from 9,184 banking offices in 2013. Rural banks had the fastest expansion rate of 18.2 percent from 2,132 in 2013 to 2,519 in 2014, followed by thrift banks at 7.5 percent from 1,791 to 1,925. Commercial banks, on the other hand, grew by 6.4 percent year-on-year from 5,261 to 5,597.
Total deposit accounts increased by 4.5 percent to 47.4 million from the 45.4 million accounts registered in 2013, with rural banks leading the increase in number of accounts at 6.8 percent, followed by thrift banks and commercial banks at 5.3 percent and 3.9 percent, respectively.
Of the total deposits, Php 1.9 trillion, or 22.2 percent are insured by PDIC given the Maximum Deposit Insurance Coverage (MDIC) of Php 500,000. Around 96.6 percent of all deposit accounts are estimated to be fully insured while 3.4 percent have balances in excess of the MDIC and are partially insured up to Php 500,000 only. (PNA)