GCG to monitor Landbank-DBP merger to ensure no abandonment of mandates

The Governance Commission for GOCCs (GCG) said it will closely monitor the proposed merger of the Landbank of the Philippines and the Development Bank of the Philippines (DBP) to ensure a seamless transition.

According to GCG chairperson Alex Quiroz, the commission will ensure that the merger does not lead to the abandonment of any of the mandates of the two banks.

He added that the GCG has jurisdiction over the merger to ensure that it benefits the state.

Quiroz said “We want to ensure that the merger is seamless and will not disrupt or cause issues or concerns in their respective operations and processes.”

The GCG also mentioned that legal concerns were raised by DBP during a sectoral meeting attended by stakeholders.

The commission committed to promptly submit its recommendation regarding the proposed merger to the Office of the President.

Finance Secretary Benjamin Diokno said that the proposed merger is expected to result in savings of about P5 billion annually for the government.

The evaluation will cover all areas and is of utmost importance as Landbank and DBP have been named as sources of start-up funds for the government’s proposed sovereign wealth fund, or the Maharlika Investment Fund.

China inflation stays low as growth sputters

Chinese inflation came in flat again in May, official figures showed Friday, as the country’s economy sputters owing to softening demand and falling exports, leading to calls for a rate cut and a bigger government stimulus.