By Alec Go
The Pag-IBIG Fund announced Monday, March 6, that its Board of Trustees approved to postpone the contribution hike in 2023 as workers and businesses continue to recover from the impact of the COVID-19 pandemic.
The 11-member board unanimously approved the deferment to January 2024.
“We recognize that many of our members and employers are still in the midst of recovering from financial challenges arising from the effects of the pandemic on the economy,” Department of Human Settlements and Urban Development Secretary Rizalino Acuzar said.
“After consulting with our stakeholders, we have officially approved the deferment of the increase of Pag-IBIG members’ monthly contributions for another year,” he added.
The official noted that this is part of President Ferdinand R. Marcos Jr.’s call to “ to alleviate the financial burden” of Filipinos.
The contribution increase was supposed to take effect in 2021 to increase collections. This is to prevent the amount of disbursed loans from outpacing collections from loan payments and contributions.
It was deferred thrice due to the pandemic.
Pag-IBIG Fund Chief Executive Officer Marilene Acosta said their “strong financial position” allowed the contribution hike deferment.
“We are happy to report that even without any increase in our rates, we were able to post record-highs in 2022 with our membership savings collections reaching nearly P80 billion, loan payment collections amounting to P127.42 billion, short-term loan releases at 57.69 billion and home loan takeout amounting to P117.85 billion,” she said.
“And, with the continued trust and support of our members, the business community and housing industry partners, we look forward to achieving another banner year for Pag-IBIG Fund in 2023 despite not increasing our contribution rates for the 37th consecutive year,” she continued. – gb
