Year on year, rural banks are exhibiting robust asset growth and strong capital build-up. As of end 2007, the sector’s total assets reached PhP 149.5 Billion, an 18% increase from the previous year. Total capital accounts have also shown double digit growth of 13.4% from PhP 18.4 Billion in 2006 to PhP 20.9 Billion in 2007.
The Capital Adequacy Ratio (CAR) has remained above the minimum 10% required by the Bangko Sentral at 15.7%. The business of rural banking has also continued to show viability and profitability. Net Income After tax (NIAT) increased by 20% from PhP 2.3 Billion in 2006 to PhP 2.8 Billion in 2007. Return on Assets and Equity also continue to increase.