Eastern Visayas Sees 7% Increase in Bank Deposits Fueled by Infrastructure and E-commerce

Tacloban City — Bank deposits in Eastern Visayas recorded a 7.14 percent growth in 2023, reaching PHP177.47 billion, driven by significant government infrastructure investments and a surge in e-commerce activities.

According to Philippines News Agency, the region’s deposit liabilities increased by PHP11.84 billion from the previous year’s PHP165.64 billion. Francisco Barredo, a private sector representative on the Regional Development Council for financial intermediaries, attributed this growth to the substantial government spending on infrastructure projects that have had a widespread impact on the region’s economic activities. In a phone interview with the Philippine News Agency, Barredo highlighted the increase in regional budget allocation for public works to PHP51.47 billion in 2023 from PHP43.52 billion in 2022, enhancing the local deposit base.

Banking statistics from the PDIC website further revealed that the number of accounts in the region grew by 9.04 percent, from 1,377,026 in 2022 to 1,501,608 in the following year. The number of banking institutions also rose, from 303 to 312 over the same period. Every province within the region reported increases in both accounts and deposit volumes.

Barredo noted additional growth factors including the rise of e-commerce and the adoption of electronic banking, which have made financial transactions more accessible and efficient. Victorio Tingcang, area director of the Bangko Sentral ng Pilipinas Tacloban branch, echoed this sentiment, emphasizing how digital banking platforms have integrated more Filipinos into the formal financial system, thereby bolstering regional economic performance.

The expansion of existing banks and the opening of new branches have also played a critical role, facilitating smoother money transfers and encouraging business expansion beyond the major commercial centers. This is reflected in the comprehensive growth across Leyte, Eastern Samar, Samar, and Southern Leyte.

Particularly noteworthy is Leyte province, which houses 50 banks in its capital, Tacloban City, and led the deposit growth with PHP107.03 billion. The city itself saw deposits rise from PHP55.47 billion in 2022 to PHP64.46 billion in 2023, with the number of accounts increasing to 432,729 from 384,688.