DBP allots P15 B for ICONS program

MANILA, Philippines — State-run Development Bank of the Philippines (DBP) has extended P15 billion in loans to local contractors working on infrastructure projects in the country, a top official said on Friday.

In an interview, DBP president and chief executive officer said the bank is continuously lending to local contractors through the Infrastructure Contractors Support program (ICONS), in support of the Duterte administration’s infrastructure program.

“We have a lot of customers who are contractors and who are working on these big projects. Under our ICONS program, we have approved more than P15 billion already since last year,” Borromeo told reporters.

Launched in July 2017, the ICONS program aims to improve the capacity of local contractors to complete their contracts and finance their own investments, including the acquisition of heavy equipment for construction projects.

Contractors duly licensed by the Philippine Contractors Accreditation Board are eligible to borrow under the ICONS program, the DBP said.

The bank said contracts which can be financed under the program include social infrastructure for both residential and non-residential buildings, roads and bridges, water, wastewater, sanitation, power and energy infrastructure.

As of end-June, DBP’s total loan portfolio stood at P250.9 billion, with P82.88 billion channeled to the infrastructure and logistics sector.

“Our (total loan) portfolio grew by about 18 percent, almost 20 percent year-on-year. More than 50 percent of that growth came from infrastructure projects,” Borromeo said.