Overseas Filipino Bank a vehicle for Filipinos abroad to invest at home
The Overseas Filipino Bank (OFB), set to open tomorrow, will serve as a vehicle for Filipinos who are working and living abroad to be able to invest their hard-earned money in the Philippines, Finance Secretary Carlos Dominguez III said Wednesday.
OFB, which will become a subsidiary of state-owned Land Bank of the Philippines, will provide remittance services for OFWs and a loan program for Filipinos abroad who are planning to go back home in the Philippines to put up their own businesses or build their own homes, Dominguez said.
The Department of Finance and Land Bank of the Philippines are likewise eyeing securing licenses in countries abroad with large concentration of Filipinos so that the state-owned lender can provide financial advisory services to them, Dominguez said in a statement published on the DOF website.
LandBank is also exploring ways alongside the Bureau of the Treasury to mobilize the savings of Filipinos abroad so that they can invest in the local capital markets, he said.
President Duterte last year approved LandBank’s acquisition of Postal Savings Bank and converted the lender into OFB.
The government previously planned OFB to cater exclusively to the banking needs of OFWs, whose remittances help boost consumer spending in the Philippines and help spur economic growth, but Dominguez decided to expand its coverage to include all Filipinos who are based in other countries.
The creation of OFB is part of Duterte’s campaign promises.