Metrobank to put up 50 more branches

Monday, January 30, 2012

WITH the strong domestic economy, Metropolitan Bank and Trust Co. (Metrobank) will be putting up 50 more branches outside Metro Manila.

A top official said most of these branches will be put up in Southern Philippines, including Cebu.

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Metrobank chairman and group vice chairman Antonio Abacan Jr. said their strong presence in the countryside is a major growth driver of the bank.

“We will be concentrating and strengthening more our presence in the countryside, especially in Visayas and Mindanao, where strong growth is coming from,” Abacan told reporters in an interview on Saturday.

Remittances

Abacan attributed the bullish expansion to the country’s healthy banking sector and strong domestic economy. He downplayed effects of economic problems in the US and Europe on the Philippine economy. He also said remittances from overseas Filipino workers are one of the country’s growth drivers.

“We believe that one way to improve our local economy is to put up more branches, especially in the countryside,” he said, adding that company expansion generally creates job opportunities.

A typical branch expansion may cost P5 million to P10 million in investment per branch. At least five to six employees are needed to staff the bank’s operations.

Metrobank has a network of 770 branches and 1,500 automated teller machines nationwide. It also has 38 foreign branches, subsidiaries and representative office.

Cebu has 36 branches.

Growth

According to the company’s website, Metrobank posted an income growth of 48 percent to P8.9 billion in the first nine months of 2011. The bank’s lending activities registered double-digit growth across the corporate, middle market and SME and consumer sectors.

Abacan said the bank can sustain or even exceed its growth given the country’s robust domestic demand and vibrant services sector.

The bank projected the country’s gross domestic product to grow at 4.6 percent this year, faster than the projected 3.7 percent last year, according to its quarterly “The Economic Report.”

“Increased government spending is needed to give the boost the domestic economy needs amid the deteriorating external environment,” Metrobank said.