Phl bank assets rise 8.3% in February on strong lending

The Philippine banking system posted stronger asset growth in February, reflecting continued expansion in lending activity and steady investor confidence, according to data from the Bangko Sentral ng Pilipinas.

Latest figures showed total banking assets reached ₱29.19 trillion in February, up 8.3 percent from ₱26.95 trillion a year earlier. The total was also slightly higher than the ₱29.11 trillion recorded in January.

Financial analyst Jonathan Ravelas of Reyes Tacandong & Co. said the increase points to “healthy, disciplined growth” in the sector.

“The rise in banking sector assets reflects healthy, disciplined growth. Loans are expanding alongside steady economic activity, while banks are also increasing investments in government securities to manage liquidity amid still-elevated interest rates,” he said.

Ravelas added that the trend suggests confidence in the financial system remains intact, but banks are becoming more cautious in lending.

“Moving forward, asset growth should continue but at a more measured pace — focused on quality lending and balance-sheet strength. Bottom line: the banking system is liquid, stable, and growing for the right reasons,” he said.

The BSP data indicate that banks are balancing credit expansion with risk management, while maintaining strong liquidity amid prevailing interest rate conditions.