Foregone Landbank-DBP merger

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Since President Marcos had given his go-signal to the merger of Land Bank of the Philippines (Landbank) and Development Bank of the Philippines (DBP), it is, for all intents and purposes, a done

The resolution of the issue on what procedure should be followed in creating what would be the biggest bank, asset-wise, in the Philippines rests primarily on the contending parties’ charter.

In 1998, Republic Act No. 8523 amended that EO and, among others, increased its capital stock to P35 billion with the national government subscribing to it and reinforced DBP’s corporate powers to enable it to more effectively accomplish its mission.Fast forward to 2011, in the wake of reports of wasteful activities by some GOCCs, Congress, through RA No.

And that includes DBP’s charter, with the net effect that the provisions of RA No. 10149 that relate to the exercise of some of DBP’s powers, e.g. organizational structure and staffing pattern, are, by virtue of the repealing clause cited above, have to be complied with by DBP.

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[OPINION] Landbank-DBP merger: Bigger not necessarily better'Left unaddressed, concerns about the planned merger may morph into social discontent and increased impoverishment of farmers and fisherfolk who already have little or no access to credit, technology, and markets.' ThoughtLeaders
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