PDIC scores highest in governance index

The regulator Governance Commission for Government –owned and/or –controlled corporations (GCG) and the Institute of Corporate Directors (ICD) gave the Philippine Deposit Insurance Corp. (PDIC) the highest score in the Corporate Governance Scorecard for GOCCs for 2016.

PDIC obtained a score of 99.5 percent which earned the Award of Excellence during the recent Corporate Governance Scorecard Awards ceremony.

It second year that the PDIC scored the highest in the Scorecard. In 2015, PDIC bested 89 other GOCCs by scoring 94.5 percent in the appraisal of its performance on corporate governance.

The GCG adopted the Corporate Governance Scorecard for GOCCs, patterned after the ASEAN Corporate Governance Scorecard and based on the Principles of Corporate Governance for State-owned Enterprises by the Organization for Economic Cooperation and Development (OECD), to raise the standards of corporate governance practices of GOCCs and be at par with the ASEAN state-owned enterprises.

The scorecard rates the GOCCs’ policies and practices in stakeholder relations, disclosure and transparency, and board responsibilities.

The GCG and ICD cited the PDIC for its perfect score in stakeholder relations and almost perfect score in Board responsibilities.

PDIC was also acknowledged for its best practice in providing newly-appointed board members of a Director’s Kit as well as briefings on corporate operations, strategic plans and objectives; and other matters that may be requested by the directors.

PDIC directors were likewise regularly updated of applicable laws, rules and regulations and informed of relevant forthcoming trainings and seminars. Their seminars and trainings are duly funded by the PDIC as well.

GCG Chairman Samuel Dagpin Jr. lauded the awardees for being prime examples of better corporate governance in the GOCC sector and expressed hope that more GOCCs will exemplify better governance practices.

ICD Chairman Francis Estrada said governance is not all about compliance but about values and principles; and real long-term results in governance.

He said that the implementation of the Scorecard and the subsequent outstanding performance of GOCCs proved that excellence could be built.

PDIC President Roberto Tan expressed optimism that the award will inspire PDIC employees to perform better, deliver breakthrough results and continue to be motivated by its vision of becoming a world class organization in depositor protection.

“We hope PDIC will also inspire other GOCCs to build a culture of public service excellence the same way PDIC continuously strives to benchmark its operations with international standards,” he said.

The award supports the recent call of Finance Secretary Carlos Dominguez who is also the Chairman of the PDIC Board of the need to build a world-class bureaucracy in the Philippines by ensuring quality governance in delivering public service.

The Award for Excellence is another milestone achievement that marks 54 years of protecting the depositing public and promoting financial stability, the twin public policy objectives of the corporation.

Other awardees were Land Bank of the Philippines (LBP) (98.5 percent), Philippine Crop Insurance Corporation (94.5 percent), Development Bank of the Philippines (91.5 percent), LBP Leasing and Finance Corporation (90.5 percent), Bases Conversion and Development Authority (90.5 percent), Government Service Insurance System (86.5 percent), PNOC Renewables Corp (86 percent) and Philippine Reclamation Authority (82.5 percent). RIZA LOZADA