GOCCs outperform themselves with 41% increase in dividend collections – DOF

GOCCs outperform themselves with 41% increase in dividend collections – DOF
DOF Secretary Carlos G. Dominguez (Photo courtesy of DOF)

GOCCs outperform themselves with 41%
increase in dividend collections – DOF

By THEPHILBIZNEWS STAFF

Government-owned and controlled corporations (GOCCs) have stepped up their game, operating with such efficiency that they are able to turn in profits and raise dividends remitted to the national government the past year, Finance Secretary Carlos G. Dominguez revealed recently.

“In 2018, the total dividend collection from 56 GOCCs amounted to P51.2 billion, representing a dramatic 41 percent increase from the P36.5 billion collected in 2017,” said Dominguez in his remarks on GOCC Day last July 11. “This is the highest amount ever collected,” he added.

Last year, eight GOCCs contributed at least P1 billion in cash dividend remittances. They are the Philippine Deposit Insurance Corporation (PDIC); Civil Aviation Authority of the Philippines (CAAP); Bangko Sentral ng Pilipinas (BSP); Philippine Ports Authority (PPA); Philippine Amusement and Gaming Corporation (PAGCOR); Philippine Charity Sweepstakes Office (PCSO); Manila International Airport Authority (MIAA); and National Power Corporation (NAPOCOR).

“Our government-owned and controlled corporations or GOCCs pursue a myriad of missions ranging from banking to building and maintaining our irrigation systems,” the Finance Chief said. “I am happy to note that the greater number of GOCCs operate with such efficiencies that they are able to turn in profits and remit dividends to the national government.”

In yet another unprecedented development, as of July this year, total dividend contributions from the 53 GOCCs already reached a new record amount of P61.3 billion. This amount includes cash and dividend contributions retained by government financial institutions to boost their capital requirements.

Dominguez credited this feat to the same top eight contributors cited earlier, plus the Land Bank of the Philippines.

In the same breath, he recognized Pag-IBIG Fund for declaring its highest dividend payout ever in 2018 amounting to P28.2 billion, which was credited directly to its members’ accounts. As mandated by law, Pag-IBIG declares at least 70 percent of its income as dividends for all its members instead of remitting this to the national government.

“For this spectacular trend, we must thank all the good managers of the GOCCs, and I have to recognize also the Corporate Affairs Group of the Department of Finance (DOF) headed by Undersecretary Antonette Tionko and ably assisted by Assistant Secretary Soledad Cruz,” said Dominguez.

He also cited the contribution of officers and the board of the different GOCCs as well as the secretaries who supervise these GOCCs for their cooperation such as Transportation Secretary Art Tugade, Energy Secretary Al Cusi, and Trade Secretary Mon Lopez.

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