As deposits in the Philippine banking system continue to grow during the pandemic, fully insured deposits likewise increased, rising by as many as 5 million accounts by the first quarter of this year compared to the same period in 2020.
The latest data released by state deposit insurer Philippine Deposit Insurance Corporation (PDIC) showed that as of March 31, 2021, it fully insured 96.7 percent or 78.2 million of the 80.9 million total deposit accounts maintained in 528 banks nationwide.
This represented an increase of 6.8 percent or 5 million fully insured deposit accounts compared to the 73.3 million deposit accounts recorded in the same period in 2020.
The state deposit insurer also reported that total insured deposits grew by 5.9 percent to P3.0 trillion as of the end of March 2021 from P2.9 trillion as of March 2020.
Of the total insured deposits, 55.8 percent or P1.7 trillion were fully covered by deposit insurance as of the end March 2021 while 44.2 percent or P1.3 trillion were partially insured up to the maximum deposit insurance coverage of P500,000.
Fully insured and partially insured deposits accounted for 11.3 percent and 9.0 percent, respectively, of the P15.0 trillion total deposits in the system.
Total deposits in the Philippine banking system expanded to P15.0 trillion as of the end of March 2021, 7.8 percent more than the P13.9 trillion recorded in the same period last year.
The growth mirrored the increase in deposit accounts to 80.9 million in the first quarter of 2021, or by 6.8 percent from 75.8 million as of the end of March 2020.
“The current deposit data augur well on depositor confidence in the Philippine banking system despite the pandemic as backdrop. We are optimistic that the depositing public will continue trusting banks and for bank deposits to sustain their steady growth to help fuel the economy. The PDIC, as a financial safety net, will always remain committed to its pursuit of depositor protection and in promoting financial stability in the country through responsive and effective services,” PDIC President and CEO Roberto Tan said.
