Landbank to open Overseas Filipino Bank in January 2018
Land Bank of the Philippines (Landbank) president and CEO Alex Buenaventura said the Bank for Overseas Filipino Workers (OFWs) would start operations on Jan. 2, 2018.
Buenaventura, in an interview with PNA Friday, said Landbank has re-submitted to the Bangko Sentral ng Pilipinas (BSP) its application to acquire Postal Bank.
He said BSP Governor Nestor A. Espenilla Jr. assured him that the policy-making Monetary Board (MB) “will fast track the approval before the year ends.”
Landbank is seeking the Board’s approval for the proposed Overseas Filipino Bank’s P1 billion authorized capital, P700 million of which will be classified into common shares while the balance of P300 million will be preferred shares.
Buenaventura said the MB approval was needed for the OFW Bank to forward to the Securities and Exchange Commission (SEC) the proposed amendments of its Article of Incorporation and By-laws.
He, however, said that even without SEC approval the Overseas Filipino Bank can start its operations.
While operations oud start on January 2 next year, Buenaventura said formal launching would be held in April of the same year.
He said initial marketing of the bank would be done by the bank’s head office at the Liwasang Bonifacio in Manila through extensive dialog with OFW beneficiaries.
Buenaventura said a pilot representative office would be opened at the Consular Office in Dubai by April next year as recommended by the DOLE (Department of Labor and Employment).
President Rodrigo R. Duterte signed on Sept. 28, 2017 Executive Order (EO) 44, directing the Philippine Postal Corporation (PhilPost) and the Bureau of the Treasury (BTr) to transfer their Postalbank shares to the Land Bank of the Philippines (Landbank) at zero value.
Under the EO, Landbank was ordered to ensure the capitalization of Overseas Filipino Bank, which will be headed by Landbank’s chairperson.
Postalbank officials affected by this transfer will be offered an early retirement incentive plan. (PNA)