Bank deposits in Cebu hit P486.44B in 2017

CEBU, Philippines — Cebu banks again topped provinces outside Metro Manila in terms of deposits in 2017 as it emerges as the financial hub in southern Philippines.

Bank deposits held by Cebu banks stood at P486.44 billion as of end 2017, based on latest data from the Philippine Deposit Insurance Corp.

For banks in Cebu City alone, deposits amounted to P334.98 billion as of last year.

Cebu Bankers Club past president Rey Eleccion said the city’s bank deposits have consistently grown in double-digit in recent years.

“Not only in deposits but also in loans,” the bank official told The FREEMAN yesterday.

Eleccion pointed out that Cebu’s economy has grown rapidly pushing banks to be aggressive in solidifying their presence here.

“Cebu has been growing rapidly that banks are also opening more branches in the city,” he said.

He asserted the local banking sector is looking to sustain this growth given the positive prospects towards the continued growth of the city’s economic activity.

“We hope to sustain this growth given the various developments that are growing like mushrooms,” Eleccion said.

“Constructions are everywhere and banks reposition their presence in each of these new development sites,” he further said.

As of last year, Cebu had a total of 565 bank branches, 237 of which are in Cebu City.

It also had a total of 2,512,928 bank accounts across the province.

Based on the PDIC data, bank deposits in whole Central Visayas — which includes Cebu, Bohol, Negros Oriental and Siquijor — hit P582.28 billion as of end 2017, with a total of 3,549,070 bank accounts.

The region also had a total of 790 bank branches.

Furthermore, bank deposits in Bohol reached P45.98 billion; Negros Oriental, P46.82 billion; and Siquijor, P3.03 billion.

Savings and time deposits remained the main fund sources of local banks. Other deposits include demand deposits and foreign currency deposit units (FCDUs).

Aside from economic expansion, the increasing population is also driving banking's growth. Other drivers industry players cited include the increasing employment, robust consumer spending and household expenditure.

Cebu's vibrant and growing economy which is mostly consumer-driven is also supporting this growth.

Cebu is seen to sustain this growth considering the consistent rise in bank deposits in recent years. (FREEMAN)