About the Cover Table of Contents

CORPORATE PROFILE 1 As we celebrate another year of groundbreaking achievements, we honor the Pag-IBIG Fund members. MESSAGES 3

Their trust and patronage propelled Pag-IBIG Fund into another best OPERATIONAL HIGHLIGHTS 9 year ever, hence the cover’s theme: “Tiwala at Tangkilik ng Miyembro, Matatag na Pondo.” AWARDS AND RECOGNITIONS 36

The heroic teacher, the humble janitor, the everyday office workers, PAG-IBIG FUND OFFICERS 42 and the tireless construction worker - all grace our cover as ordinary Filipino workers representing the members of Pag-IBIG Fund. AT A GLANCE 55

The arrow at the end of the golden thread signifies Pag-IBIG Fund’s FINANCIAL STATEMENTS 57 continued growth and upward trajectory. GOVERNANCE REPORT 117 The drawing from the Filipino workers to the arrow is made in one PROFILE OF THE BOARD 127 continuous golden line. This is to depict that even as it expands its business, Pag-IBIG Fund remains an organization that seeks sustainable DIRECTORY 139 growth, always guided by the welfare of its members as the primordial consideration.

The unbroken line is also a representation that Pag-IBIG Fund management and staff is unwavering in its dedication to provide exceptional service to its members -- the true owners of the Fund. Corporate Objective Introduction

2017 To sustain membership growth and retention that would result to an average Pag-IBIG Fund’s accomplishments are built on the trust and support of its year-on-year growth of 5% in members’ savings collection until 2020, and members and stakeholders. Dahil sa patuloy na pagtitiwala at pagtatangkilik ng provide affordable home financing to low-income earners, capturing 88% of LTS mga miyembro ng Pag-IBIG Fund, lubos na nakapaghatid serbisyo at lalong tumatag from socialized housing and low-cost housing segments by 2020. ang Pondo ng manggagawang Pilipino.

The Fund remains a major player in President Rodrigo Roa Duterte’s call for 2018 government to provide social benefits to more Filipinos. Pag-IBIG Fund dedicates To sustain membership growth and retention that would result to a P2 billion itself to the continued delivery of its twin mandates of providing an effective annual increase in members’ savings collection until 2022, and provide affordable savings mechanism and access to affordable housing finance to its members – home financing to at least 440,138 low-income earners through socialized and the Filipino workers. low-cost housing, capturing 34% of the National Shelter Program Direct Housing Assistance Target from 2018 until 2022. Interwoven in Pag-IBIG Fund’s 2018 Corporate Annual Report are the words and lines embodied in the Panata ng Lingkod Pag-IBIG. These are the guiding tenets of true public service that drive Pag-IBIG Fund to achieve more and make each 2019 year better than the year that was. To sustain membership growth and retention that would result to a P2 billion annual increase in members’ savings collection until 2022, and provide affordable The milestones achieved by Pag-IBIG Fund in this report bespeak of its integrity home financing to at least 440,138 low-income earners through socialized and and sincere resolve to be the country’s most responsive savings and home low-cost housing, capturing 34% of the National Shelter Program Direct Housing financing institution, all while delivering its unique brand of service – Tapat na Assistance Target from 2018 until 2022. serbisyo, Mula sa puso.

Vision Mission For every Filipino worker to save To generate more savings from with Pag-IBIG Fund and to have more Filipino workers, to administer decent shelter. a sustainable Fund with integrity, sound financial principles, and with social responsibility, and to provide accessible funds for housing of every member.

1 2 Message from the President of the Philippines

My warmest greetings to Pag-IBIG Fund as it publishes its 2018 Corporate Annual Report.

The year 2018 was a banner year for Pag-IBIG Fund as it released P75 billion worth of housing loans to benefit over 90,000 members and their families. It is noteworthy that over 21,000 of these members are minimum-wage and low-income earners who availed of the Fund’s Affordable Housing Program.

These gains were made possible by your commitment to provide our fellow Filipinos with support for their housing needs, specifically by maintaining low interest rates on housing loan programs and administering a sound savings program for stakeholders. May you further uplift the lives of our countrymen by ensuring that your projects and services meet their housing needs.

It is my hope that Pag-IBIG Fund will never waver in fulfilling its mandate to secure better homes for every Filipino Family. It is through your tireless pursuit — of helping Filipino workers to have decent shelter they can call their own — that we Filipinos are brought closer to the brighter future that we justly deserve.

Congratulations and mabuhay kayong lahat!

RODRIGO ROA DUTERTE President Republic of the Philippines

3 4 alp

Message from the Chairman of the Board

Allow me to extend my congratulations to Pag-IBIG Fund for its record-high achievements in 2018.

It is my great pride and honor that I work as a modest servant among the diligent men and women of Pag-IBIG Fund.

Pag-IBIG Fund prides itself on being a government institution that serves and takes care of its members. And in 2018, we further strengthened the Lingkod Pag-IBIG brand of service - the brand of service that distinguishes Pag-IBIG Fund from all the rest. A brand of service that provides tapat na serbisyo, mula sa puso.

In 2018, Pag-IBIG Fund breached significant milestones in members’ savings, home loans and cash loans in its 38-year history.

Members’ Savings tallied at Php40.27 billion - the first time that the members‘ savings collections reached the Php40 billion mark. Pag-IBIG Fund released its highest ever amount of housing loan takeout at Php75.31 billion - also the first time that it surpassed the Php70 billion mark. The Fund also released short- term loans amounting to Php49.23 billion, including multi-purpose loans worth Php46.96 billion, which is the highest ever cash loans disbursed in the Fund’s history.

Pag-IBIG Fund remains as a major player in President Rodrigo Roa Duterte’s call for government to provide social benefits to more Filipinos - especially to low-income earners and those below the poverty line. Pag-IBIG Fund is a vital arm in the implementation of the BALAI Filipino (Building Adequate, Livable, Affordable, and Inclusive Filipino Communities) program of the Housing and Urban Development Coordinating Council. In 2018, Pag-IBIG Fund released Php8.36 billion for socialized housing, which benefited more than 21,000 borrowers mostly from the underserved sector.

These accomplishments demonstrate the corporate values of Pag-IBIG Fund - professionalism, integrity, excellence and service.

EDUARDO D. DEL ROSARIO Chairperson Pag-IBIG Fund Board of Trustees & Housing and Urban Development Coordinating Council

5 6 Message from the Chief Executive Officer

The last 12 months have been both formidable and fulfilling for us here in Pag-IBIG Fund. As 2018 drew to a close, we achieved our second consecutive milestone year following the measures for the Fund’s twin mandates.

In terms of the first mandate to generate savings -- for the first time ever, Members’ Savings amounted to more than P40 billion. The Fund declared dividends in the amount of P28.23 Billion, which was credited directly to each member’s account and which shall count as an addition to their Savings with the Fund.

On the second mandate to provide affordable home financing – our home loan releases (HL) reached over P75 billion, which is the highest on record. It took 36 years for our HL releases to breach P50 billion – what we considered as the glass ceiling back in 2016. In 2017, HL releases breached P60 billion. And in 2018, we broke the P70-billion barrier. Thus for the past three years, Pag-IBIG Fund’s home loan releases have been growing at a rate of P10 billion annually, while we continue to offer the lowest home loan interest rates in the market since 2017!

These accomplishments bring pride to our organization. But what fulfills us is the knowledge that behind the record-breaking numbers, there are members who were helped by our programs. More than 90,000 families now enjoy the comforts of having their own homes through Pag-IBIG Fund’s Housing Loan Program. More than 2,000,000 members were able to address their urgent and often unexpected financial needs through our Short-Term Loan Program, through which we disbursed nearly P50 billion, another all-time high.

As you breeze through the pages of our 2018 Annual Report, you will see that the Fund was able to achieve one “best year ever” after another thanks to our members – dahil sa kanilang pagtiwala at pagtangkilik sa mga programa, mas tumatag ang Pondo. With members at the core of our business, we have adopted the Lingkod Pag-IBIG brand of service: Tapat na serbisyo, Mula sa puso.

Numerical accomplishments will be forgotten but the quality of service that our members receive will be remembered, and this will shape the future performance of Pag-IBIG Fund.

Inside, you will learn what Lingkod Pag-IBIG is all about and understand that beyond the numbers, our members’ welfare always comes first. Our hope is to convey this successfully to you, our members and the true owners of Pag-IBIG Fund, through whatever channel you course your transaction with us.

Ang inyong Lingkod Pag-IBIG,

ACMAD RIZALDY P. MOTI Chief Executive Officer Pag-IBIG Fund

7 8 Tiwala Operational Highlights ng mga Miyembro

9 10 All-time High Members’ Savings

Members collectively saved P40.27 billion, an 11% increase from the P36.27 billion savings in 2017 and the highest in its history. The double-digit increase amounted to almost P4 billion, the highest amount increase in the Fund’s history and a testament of the members’ increasing trust and confidence in Pag-IBIG Fund’s Savings Programs. Growing Membership

Pag-IBIG Fund’s membership continued to grow as the number of active members reached 14.04 million – an increase of nearly half a million compared to the 13.58 million active members in 2017. Figure 1. Members’ Savings 2017 vs 2018 Pag-IBIG Fund’s membership consisted of 10.54 million workers from the private sector, 2.12 million from the government sector, 1.06 million Overseas Filipino Workers (OFWs), and more than 300,000 belonging to other working groups, including self-employed workers and voluntary members. All of whom now have access to the many benefits that a Pag-IBIG Fund member may enjoy.

11 12 The growing popularity and credibility of the MP2 Savings Program has Phenomenal Growth enabled Pag-IBIG Fund to further promote a savings culture amongst of the Modified Pag-IBIG 2 Filipino workers, all towards providing them a more safe and secure future. (MP2) Savings In 2018, MP2 guidelines were amended to allow retirees and The Pag-IBIG Fund MP2 Savings Program achieved pensioners who were previous Pag- unprecedented gains with members collectively saving a IBIG Fund members to save in the record-high P4.47 billion in 2018. This is a phenomenal 242% program. Dividend payout options increase compared to P1.304 billion collectively saved by were also offered under the new members in the MP2 Savings in 2017. rules where members may choose between an annual dividend payout or a lump sum payout of compounded dividends when one’s MP2 Savings reaches its 5-year maturity.

Figure 2. MP2 Savings 2017 vs 2018

13 14 Sustained Double-digit Growth in Housing Loan Takeout

Pag-IBIG Fund set a new record in its housing loan program as it breached the P70-billion mark, registering P75.31 billion in housing loan take-out, an increase of 16% compared to the P65.13 billion take-out in 2017. This is the third year that Pag-IBIG Fund posted double-digit growth in its home lending program signifying the increasing trust of Filipino workers in tapping Pag-IBIG Fund as their prime home loan facility.

The said amount funded the home acquisition of 90,375 Filipino workers, a 12% increase from the 80,964 home loan borrowers in 2018. Tangkilik Including proceeds pending for release, or those home loan applications that have already been approved but are still awaiting complete submission of post-approval requirements, sa Programa the total home loan applications approved by Pag-IBIG Fund in 2018 amounted to P95.02 billion, for the benefit of 108,102 members and their families.

Figure 3. Housing Loan Takeout 2012 to 2018

15 16 Innovative Countryside Housing Initiative Reliable Affordable (CHI) Housing Loan Program for Under the BALAI Filipino (Building Adequate, Livable, Affordable, and Low-Income Earners Inclusive) Communities Program, Pag-IBIG Fund responded to the

government’s call to provide housing opportunities for low-income Pag-IBIG Fund’s home loan program caters not just to formally- earners, especially those in the provinces or in rural areas. Through employed workers but also those belonging to the informal sector. partnerships with employers, organizations, or local government units, Pag-IBIG Fund’s Affordable Housing Loan Program provided a CHI allows these entities to have a stake and contribution in uplifting total of P8.36 billion funding to 21,389 low-income earners for the the lives of these workers who are usually unserved or underserved. purchase of socialized housing units. The said amount is 24% of the total housing loan amount released by Pag-IBIG Fund in 2018, such that 1 in every 4 housing loan borrower are workers receiving minimum wages.

The Pag-IBIG Affordable Housing Loan Program maintained its 3% per annum interest rate – the lowest interest rate for housing in the market, which makes the monthly amortizations more affordable for low-income workers. The subsidized rate has been in place since May 2017.

17 18 Dependable Short-term Loans

Pag-IBIG Fund disbursed a total of P49.23 billion pesos worth of cash loans in 2018, which is 5% more than the P46.76 billion Pag-IBIG Fund went through challenging times in released in 2017. Almost 2.43 million members benefited from the 2018 when it decided to upgrade its core systems release, 13% more than the 2.15 million borrowers from the with the goal of further improving its services by previous year. implementing a centralized database, which will allow easy access to members’ profiles, faster Multi Purpose Loans (MPL) took up the bulk of the approved loan loan processing, and consolidated membership applications, where the Fund released P46.96 billion – the highest accounts. The adjustment and stabilization of the MPL disbursed by the Fund in its history, supplementing the new system caused a temporary slowdown in the financial needs of 2.27 million members. processing of loans at the beginning of the year.

Calamity victims also benefited from Pag-IBIG Fund cash loans Once the system stabilized, the members reaped through the Calamity Loan Program. Intended to assist members the benefits of a more efficient service. From affected by calamities, Pag-IBIG Fund released a total of P2.28 the standard processing time of two weeks, loan million to aid some 160,000 affected members. applications with complete supporting documents were processed in just two days. This paved the way for Pag-IBIG Fund to process the highest-ever amount of MPLs in its 38-year history.

Figure 4. Short-term Loans 2017 vs 2018

19 20 Efficient Collection Systems

While Pag-IBIG Fund’s home loans continued its surge, the quality of its home loan portfolio remained high.

Pag-IBIG Fund collected an all-time high P55.73 billion in home loan payments, a P4.68 billion, or a 9% increase from its home loan collections of P51.05 billion in 2017.

As a result, Performing Loans Ratio or PLR reached 90.26% by end of 2018, also an all-time high. This means that 9 out of 10 housing loan borrowers have updated payments on their housing loans, this despite having a significant part of its portfolio belonging to minimum-wage and low-income workers whom most financial institutions consider as high-risk.

Pag-IBIG Fund was also able to collect P53.21 billion in Short Term Loan Collections, 4% higher than total cash loan payments of Matatag P51.22 billion collected in 2017. All these are attributable to the Fund’s efficient collection system na Pondo geared towards member accountability and program sustainability.

Figure 5. Figure 6. Home Loan Payments Performing Loans Ratio 2017 vs 2018 2017 vs 2018

21 22 Strong Financial Management

Pag-IBIG Fund further strengthened its financial standing with its better-than-expected performances in its programs and efficient fund management.

The True Winners: Net income reached an all-time high as Pag-IBIG Fund posted P33.17 billion in net income, a 10% increase from 2017 net income of P30.27 Our Members billion. Pag-IBIG Fund thus sustained a double-digit growth in net income over the last 5 years.

With Pag-IBIG Fund’s record-breaking performance and robust Pag-IBIG Fund reached the half-trillion peso mark in total assets as it financial standing, members did not only benefit from sustainable breached the P500-billion mark with P533.72 billion in total assets by and reliable programs, but also received better-than-market returns end of 2018 – a 9% increase from the P488.74 billion posted in 2017. on their Pag-IBIG Fund Savings. In 2017, the Top 10 Government Corporations based on Gross and Net The Fund declared its highest-ever dividend payout amounting to Incomes were published in leading newspapers. Pag-IBIG Fund’s profit P28.23 billion, almost a one billion peso, or a 3% increase from the margin ratio during that year was at 56%. In 2018, the Fund’s profit 2017 dividend payout of P27.29 billion. This resulted in dividend ratio margin ratio increased to 63% - the highest amongst government rates of 6.91% for the Pag-IBIG Fund Regular Savings and 7.41% for owned and controlled corporations – further validating its financial MP2 Savings. strength and stability.

Figure 7. Net Income 2012 to 2018

23 24 Increase in Branches Tapat na Serbisyo, and Service Desks Pag-IBIG Fund established additional branches in 2018. From 124 branches in 2017, nine more branches were opened, bringing the number to 133. Overseas workers continue to be served by 23 Mula sa Puso service desks in various countries where OFWs have the greatest concentration.

25 26 Growing Membership Abroad

Pag-IBIG Fund’s membership continued to expand, even overseas. By end of 2018, Pag-IBIG Fund had 1.06 million Overseas Filipino Workers (OFW) as active members, a 10% growth from the 959,075 active OFW members the year before.

Member savings from Filipino workers abroad also increased by 29% in 2018, with total savings amounting to P2.70 billion compared to P2.1 billion Figure 8. Overseas Filipino Workers as Pag-IBIG Fund in 2017. Members 2017 vs 2018

27 28 Extending Membership Coverage to the Informal Sector

Faithful to its mandate of providing universal membership coverage Enhanced Core Systems to provide more Filipino workers access to social benefits, Pag-IBIG Fund established its Other Working Groups (OWG) Task Force to help those from this sector receive the same Pag-IBIG Fund benefits Pag-IBIG Fund centralized its database and upgraded its core that those in the formally employed sector enjoy. systems to enable members to file and process their applications for benefits at any branch, making filing of applications more Other working groups are usually referred to as informal economy convenient and faster. workers, or as defined by the International Labor Organization as “independent, self-employed, small-scale producers and True to its promise, loan processing under the new core distributors of goods and services.” Ambulant vendors, transport systems became faster and more efficient. Members may now sector workers, and microentrepreneurs are just some of the File Anywhere and Process Anywhere their loan applications workers identified under this sector whose irregularity of income in any of the 133 Pag-IBG Fund branches. Processing times for and the absence of a structured and standard employment Short Term Loans were also reduced to just two days, providing framework make them the most vulnerable and unserved segment members with easier and more convenient access to funds for of the workforce. their immediate needs.

In 2017, about 77,864 members from OWGs were registered as Pag- The new systems also laid the foundation for the implementation IBIG Fund members. By end of 2018, Pag-IBIG Fund added 119,990 of the Pag-IBIG Fund’s enhanced online services, which would workers or an increase of 154%. In total, Pag-IBIG Fund was able to afford members even greater convenience and better access to provide nearly 200,000 members from OWGs, most of whom are benefits and services. market vendors and transport sector workers, access to Pag-IBIG Fund membership and its benefits.

29 30 Accessible and Efficient Payment Channels

Online Services In pursuance of Republic Act 8792 or the E-commerce Act of 2000, Pag- IBIG Fund implemented the Electronic Payment and Collection Facility (EPCF), which offered a more convenient and accessible payment Pag-IBIG Fund offers the convenience of transacting online for selected services, though its E- Services subsite (http:// facility for employers with at least ten employees. The Fund established pagibigfundservices.com). partnership with accredited banks, over-the-counter payment collection service providers, and accredited finance management Through its E-Services channel, both employers and mobile apps. Pag-IBIG Fund also accredited overseas payment centers workers, including kasambahays, with online access can for the convenience of overseas workers in remitting their savings and now register their membership with the Fund. loan amortizations.

Housing loan borrowers can have the convenience of Likewise, in response to the call for government agencies to adhere to applying online, access their billing statements, and verify the Ease of Doing Business (EODB), Pag-IBIG Fund also implemented their payments. the Electronic Submission of Remittance Schedule (eSRS) to provide business-owners with less than ten employees a more secure, more Online payment for housing loan amortization and efficient, and more convenient method of remitting their employees’ member savings may also be conducted by members with savings and loan amortizations. With the facility, business owners Visa or Mastercard-issued credit cards. may now submit their remittance schedules online and remit their company’s Pag-IBIG Fund dues through Bayad Center.

Such facilities not only made payments easier and more secure, but also made posting and recording of transactions faster and more accurate.

Under the EPCF, Pag-IBIG Fund engaged more than 300 accredited banks and payment channel partners worldwide. On the other hand, the ESRS completed the roll-out of its systems on October 2018.

31 32 Loyalty Card

The Pag-IBIG Fund Loyalty Card continued to I DO, I DO! provide its more than 5 million cardholders unmatched discounts and rewards from its Araw ng Pag-IBIG growing number of partner-establishments.

As of 2018, Loyalty Cardholders enjoyed Nearly 1,500 couples exchanged vows at the annual Pag- discounts and peso points worth Php152 million IBIG Fund-sponsored I Do, I Do Araw ng Pag-IBIG mass on purchases and services from its partner- wedding on February 14, 2018. The wedding rites were establishments. held simultaneously in 16 locations nationwide. The yearly event has already enabled 20,297 couples since 74 more establishments led by McDonald’s it was launched in 2012. This multi-awarded program is (Golden Arches Development Corporation) signed part of Pag-IBIG Fund’s corporate social responsibility as up as Loyalty Card Partners. This brought to 300 it continues to support members from the low-income the number of partner-establishments – ranging sector legalize their unions. from groceries, schools, hospitals, prescription medicine providers, restaurants, hotels and other establishments frequented by Pag-IBIG Fund members – who provide discounts and rewards to our cardholders.

33 34 Lingkod Pag-IBIG: Tapat na Serbisyo, Mula sa Puso.

Pag-IBIG Fund established its brand of service with the Lingkod Pag-IBIG campaign.

Internally, it is an understanding and agreement amongst employees on the standard and quality of service that each will provide to the Pag-IBIG Fund stakeholders. To the public it serves, Lingkod Pag-IBIG is every Pag-IBIG Fund employee’s commitment towards excellent and dedicated service in response to the trust, confidence, and support that the Pag-IBIG Fund members extend to the Fund. Awards and Recognitions Through time, Lingkod Pag-IBIG has ceased to be a mere campaign to raise and establish Pag- IBIG Fund’s standards of good public service. Lingkod Pag-IBIG has become the employees themselves, embodying the culture of excellent service, professionalism, and integrity.

35 36 Mga Parangal at Pagkilala sa Pag-IBIG Fund

• Most Outstanding Accounting Office Award, • Award of Excellence – Pag-IBIG Fund’s Animated Merit Award, Association of Developing • Gold Award, 10th PANAta Awards, th • Association of Government Accountants of Explainer Video, 16 Philippine Quill Awards Financial Institutions in Asia and the the Philippine Association of National the Philippines (AGAP) Pacific (ADFIAP) Advertisers (PANA) The International Association of Business Communicators Philippines gave an Award of Excellence to Pag-IBIG For the 4th consecutive year, Pag-IBIG Fund For its Risk Management Program, Pag-IBIG At its 10th PANAtaAwards, PANA gave Pag- Fund’s animated explainer video, which discussed was again given the Most Outstanding Fund received a merit award from ADFIAP. IBIG Fund a Gold Award for its Loyalty Card General Information about the Fund’s programs. Accounting Office Award by AGAP “for having The program allows the Management Program. PANAta Awards gives recognition exemplarily met the criteria of Accuracy, Committee to look into how they should to institutions for their effective • Award of Merit - Pag-IBIG Fund’s Dagdag Ipon Timeliness, Reliability, and Compliance to govern the agency and identify and communication materials, particularly Raffle Promo, th16 Philippine Quill Awards Accounting Rules and Regulations set by the mitigate risks, while ensuring compliance those that reflect excellent marketing and Committee on Awards.” The International Association of Business Communicators to existing standards. It also made Pag-IBIG brand-strengthening practices. Philippines also gave an an Award of Merit to Pag-IBIG Fund officers and employees aware of their Fund’s Dagdag Ipon Raffle Promo Part 1. roles in mitigating risks in the agency.

37 38 • Unqualified/Unmodified Opinion, • ISO 9001:2015 Certification 7th consecutive year (2012 to 2018), Commission on Audit (COA) Pag-IBIG Fund obtained ISO 9001:2015 Certification for its Housing Loan Process Considered to be the most significant (Policy Development and Provision recognition and a testament to Pag-IBIG of Services for Housing Loan – Loan Fund’s financial strength was the th7 Application up to Release for Developer consecutive Unqualified Opinion from the Assisted – Window 1). Commission on Audit (COA). From 2012 to 2018, COA has issued unqualified opinion on Pag-IBIG Fund’s fair and accurate presentation of its financial statements.

39 40 Pag-IBIG Fund Officers

41 42 Board of Trustees

Sec. Silvestre H. Bello III Acmad Rizaldy P. Moti Sec. Eduardo D. Del Rosario Ma. Lorelei C. Fajardo Mylah R. Roque Member, Ex-Officio Chief Executive Officer Chairman Government Employees’ Representative Private Employers’ Representative Department of Labor and Housing and Urban Development Employment Coordinating Council & Pag-IBIG Fund Board of Trustees

Pedrito G. Angeles Crisostomo G. Gotladera Atty. Cornelio P. Aldon Sec. Benjamin E. Diokno Sec. Ramon M. Lopez Sec. Carlos G. Dominguez III Private Employees’ Representative Private Employees’ Representative Private Employers’ Representative Member, Ex-Officio Member, Ex-Officio Vice Chairman, Ex-Officio Department of Budget and Department of Trade and Industry Department of Finance Management

43 44 Management Committee

Sitting from left:

Acmad Rizaldy P. Moti Chief Executive Officer

Marilene C. Acosta Deputy Chief Executive Officer Home Lending Operations Cluster

Alexander Hilario G. Aguilar Deputy Chief Executive Officer Member Services Operations Cluster

Standing from left:

Atty. Marcial C. Pimentel, Jr. Vice President Legal & General Counsel Group and Head of Compliance

Atty. Robert John S. Cosico OIC Deputy Chief Executive Officer Support Services Cluster and Chief Legal Counsel

45 46 Senior Vice Presidents

Sitting from left: Standing from left:

Officer-in-ChargeBenjamin R. Felix, Jr. Officer-in-ChargeReynaldo M. Malaya Loans Operations Sector Financial Services Sector Francis T. Santos Amado Isabelo I. Dizon III Information Technology Services Sector Member Services Operations Sector and concurrent VP for International Operations Group Fermin A. Sta. Teresa Jr. Voltaire M. dela Rosa Business Development Sector Administrative Services Sector

47 48 Florencio B. Cortez* Engr. Chito L. Enciso Vice Presidents Information Systems Group Acquired Assets Management Group

Elenita A. Atienza Loans Remediation Group

Atty. HomeMarie Lending Antoniette Operations -D. Diaz Visayas/Mindanao Group

MembersLilia M.Services Anguluan Operations - FacilitiesDelia ManagementL. Bernardo and Luzon Group General Services Group

*as Officer-in-Charge 49 50 Rosana A. Fernandez Risk Management Task Force

EmeterioInternational B. Operations Gonzales, Group Jr.

Yolanda L. Espinas Atty. Karin-Lei N. Franco-Garcia Internal Audit Services Group Public Relations and Information Services Group

Erlinda M. Francisco Trinidad L. Ligeralde Member Services Operations-NCR Loans Management Group South West Group

51 52 Atty. Emilio C. Pangilinan Atty.Home JosephLending OperationsP. Quiboloy - Office of the Corporate Secretary Luzon Group

Reynaldo M. Malaya Fund Management Group

Atty.Legal Marcial & General C. Counsel Pimentel, and Jr. Head of Compliance

Atty. Digna P. Magpantay Management Services Group TeresaComputer M. Operations Manabat and Support Services Group

53 54 Arlene R. Reyes* Mary Margaret N. Sanchez Corporate Sales Group Member Services Operations - NCR North East Group

Engr. Elmer Gabriel D. Tugade Olivia V. Zerrudo Loans Origination Group Technical Administrative Support Group

Delia D. Robles Human Resource Services Group

MembersRio Services R. Teves Operations - YolandaFinance C. Group Villatura Visayas/Mindanao Group

*as Officer-in-Charge

55 56 At a Glance

57 58 Financial Highlights

I. Comparative Financial Position Particulars 2018 2017 Increase/(Decrease) Assets 532,875.134 488,744.520 44,130.613 Liabilities 56,049.425 58,115.869 2,066.444 Net worth Members’ equity 408,836.369 361,436.073 47,400.296 Other comprehensive income (loss) (12,401.577) (5,333.274) 7,068.302 Retained earnings 80,390.916 74,525.853 5,865.063 Total net worth 476,825.708 430,628.651 46,197.057 Financial Statements II. Comparative Results of Operations Particulars 2018 2017 Increase/(Decrease) Income** 52,822.290 54,019.515 1,197.225 Expenses Lending cost 13,586.618 18,328.932 (4,742.31) Fund administration cost 5,900.504 5,304.268 596.236 Other expenses 163.187 118.202 44.985 Total expenses 19,650.309 23,751.402 (4,101.093) Net income 33,171.981 30,268.113 2,903.868 Other comprehensive income (loss) (7,068.302) (4,034.731) (3,033.571) Total comprehensive income 26,103.679 26,233.382 129.703 ** Figures are presented in gross amounts in compliance with COA Circular No. 2017-004 (guidelines on the preparation of financial statements and other financial reports).

59 60 Executive Summary

61 62 Executive Summary

63 64 STATEMENT OF COMPREHENSIVE INCOME

65 66 STATEMENT OF CHANGES IN EQUITY

67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100 101 102 103 104 105 106 107 108 109 110 111 112 113 114 115 116 117 118 GOVERNING POLICIES

Republic Act No. 10149 (Government-Owned and Controlled Corporation Governance Act) stipulates that GOCCs are considered as significant tools for economic development, and must therefore be held accountable to the fiscal and financial growth of the agency, for the benefit of its stakeholders.

The “HDMF (Pag-IBIG Fund) Manual of Corporate Governance” was developed, adopted, and fully complied with by the Pag-IBIG Fund and its employees to ensure that assigned mandates are carried out in a “transparent, responsible, and accountable manner”. Lingkod Pag-IBIG are also expected to display professionalism and effectiveness, competent to carry out their function, and with full accountability to its members.

The “Code of Conduct and Ethical Standards of Officers and Employees of the Home Development Mutual Fund (Pag-IBIG Fund)” is likewise established “to promote high standards of ethics among officers and employees of the Fund who shall at all times be accountable to the people for their actions and/or omissions while in government service.”

The “Pag-IBIG Fund Information Security Policy” provides guidelines to protect information from unauthorized disclosure, modification, misuse, destruction, or non-availability. The policy is part Governance Report of Pag-IBIG Fund’s efforts to establish and sustain the trust between Pag-IBIG Fund, as well as to comply with relevant regulations to protect the Fund’s reputation.

Aside from the Pag-IBIG Fund Information Security Policy, Pag-IBIG Fund also adheres to RA 10173 or Data Privacy Act of 2012 by issuing the “Pag-IBIG Fund Privacy Policy”, which provides guidelines for the “collection, use, storage, disclosure, and disposal of the personal data”, which the Fund collects and receives from its members through various information channels of the Fund.

The Pag-IBIG Fund Quality Policy, meanwhile, provides for the Fund’s commitment to “provide member-focused quality service, through enhancement of the provident savings and home financing system”. This is being carried out through: (1) pursuance of improved standards to promote the Fund’s efficiency and effectiveness, (2) provide services that are responsive to the needs of its members, (3) promote a productive and learning work environment for the development of the employees’ growth and expertise, fostering teamwork and wellness, and, (4) upholding transparency and accountability.

Pag-IBIG Fund also complies with Section 43 of Memorandum Circular 2012-07 issued by the Governance Commission for GOCCs by providing a subsite in the Pag-IBIG Fund website, which discusses all provisions and requirements to ensure adherence to established good corporate governance practices.

These employee-driven and member-focused guidelines are fully encapsulated in the Lingkod Pag-IBIG mantra: Tapat na Serbisyo, Mula sa Puso.

119 120 THE Pag-IBIG FUND LEADERSHIP

The Pag-IBIG Fund Board of Trustees (Board) is deemed as primarily Board, develops management and succession planning, recommends the Pag- responsible for the governance of the Fund, and in providing its corporate IBIG Fund’s corporate governance principles, and monitors compliance with leadership, particularly in establishing the Fund’s vision, mission, strategic applicable laws, rules, and regulations. objectives, policies and procedures, and corporate values and standards. The Board is not expected to be involved in Pag-IBIG Fund’s daily operations but The Board Committees convenes at least once a month to discuss proposed sets the direction of the Fund’s plans and targets, and evaluates the Fund’s policies and issues, which after thorough review and assessment, shall be performance relative to these. reported to the full Board for approval. The full Board approves the proposed policies after identified conditions have been reviewed, and found adequate Republic Act No. 9679 or the Home Development Mutual Fund (Pag-IBIG and satisfactory. Fund Law of 2009) identifies the composition of the Board, which includes ex- officio members from select government agencies identified in the Pag-IBIG Fund’s charter, the Fund’s Chief Executive Officer (CEO), and five (5) appointive members: two (2) as representatives of the private sector employers, two BOARD COMMITTEES (2) as representatives of private sector employees, and one (1) representing government employees. AND MEMBERSHIP

The ex-officio trustees may designate their alternates, preferably their next-in- Board Audit Committee (BAC) rank, whose acts and decisions shall be deemed as representative of their own actions and choices. Chairperson - Trustee Pedrito G. Angeles Vice Chairperson - Trustee Myla R. Roque The appointive trustees shall have one (1) year term of office, unless removed with cause pursuant to guidelines identified in the charter and other applicable Committee Members laws. Trustee Ma. Lorelei C. Fajardo DBM Representative The Pag-IBIG Fund CEO is an appointee of the President of the Philippines, and DTI Representative shall lead and manage the Fund’s day-to-day operations.

Board Investment Committee (BIC) BOARD COMMITTEES Chairperson - Trustee Ma. Lorelei C. Fajardo Vice Chairperson - Trustee Cornelio P. Aldon To properly govern Pag-IBIG Fund, Board committees were established to facilitate policy-making and discussions in the areas of governance, internal Committee Members audit, ¬financial and investment management, and risk management. Trustee Crisostomo G. Gotladera DOF Representative The Board Audit Committee assists in the supervision of Pag-IBIG Fund’s DOLE Representative fi¬nancial reporting, internal control, and risk management process, and evaluates the performance of the Internal Audit. Board Risk and Capital Committee (BRCC) The Board Investment Committee manages the investment selection and activities of the Management Committee and assists in the development of Chairperson - Trustee Cornelio P. Aldon Pag-IBIG Fund’s investment plans. Vice Chairperson - Trustee Crisostomo G. Gotladera

The Board Risk and Capital Committee provides oversight of Pag-IBIG Fund’s Committee Members capital and risk management, including management of credit risks, market Trustee Pedrito G. Angeles risks, liquidity risks, and operational risks. Trustee Myla R. Roque DOF Representative The Board Governance Committee assesses the Board’s overall performance, provides eligibility guidelines, and conducts nomination process to the

121 122 Board Governance Committee (BGC) BOARD MEETING ATTENDANCE Chairperson - Trustee Myla R. Roque - Vice Chairperson - CEO Acmad Rizaldy P. Moti

Committee Members Trustee Pedrito G. Angeles Trustee Ma. Lorelei C. Fajardo Trustee Crisostomo G. Gotladera Trustee Cornelio P. Aldon DBM Representative DTI Representative DOLE Representative

MANAGEMENT COMMITTEE The Management Committee (ManCom) are senior officers of Pag-IBIG Fund BOARD PERFORMANCE who help the CEO carry out the directives of the Board and manage the Fund’s day-to-day operations. APPRAISAL

The Deputy CEOs (DCEOs) are next-in-rank to the CEO and oversee Pag-IBIG The GCG conducts an annual evaluation of the Board’s performance, in Fund’s major operations cluster: Home Lending Operations, Member Services keeping with the guidelines of the Performance Evaluation for Directors Operations, and Support Services Operations. (PED).

The Chief Legal Counsel provides the Senior Management with corporate The result of the Performance Appraisal shall be the basis of the GCG to strategic initiatives and legal advices. He also oversees Pag-IBIG Fund’s legal include the appointive officers in the shortlist of nominations of Board functions and operations. officers for the following term.

Performance Evaluation for Directors (PED) (1) the GOCC’s performance (60%) BOARD MEETINGS (2) Director Performance Review (25%) a. Self-Appraisal Rating (5%) Pursuant to GCG Memorandum Circular 2012-07 Section 8, Part 3, the Board b. Peer Appraisal Rating (10%) meets for regular board meetings once a month. If needed, the Chairman, or c. Chairman’s Appraisal Rating (10%) in his absence, the Vice Chairman, may call for a Special Meeting at any time. (3) Director Attendance Score (15%).

The Pag-IBIG Fund Board of Trustees approved during the 320th HDMF The Appointive Offi¬cer must have at least 85% rating to be eligible for Board Meeting a fixed HDMF Monthly Board Meeting to be held every 1st nomination for the next term. Thursday of the month. This schedule is reiterated at the beginning of the year to inform the Trustees for compliance and to block off proposed dates. TRAINING AND CONTINUING During the 2018-10 Board Governance Meeting held on 17 October 2018, the Schedule of Board Committee Meetings for 2019 has been approved. EDUCATION

The Office of the Board Secretary, who provides administrative and Pag-IBIG Fund allocates a budget for the continuing education of its Trustees organizational support to the Board prepares the agenda, and sends out to further equip and enable them in providing sound decisions for the Fund notices and board materials for review, at least seven (7) days before the operations. scheduled meeting.

123 124 On 16 January 2018, the members of the Board attended the Corporate Governance Orientation Program for GOCCs as organized by the Institute of Corporate Directors. The orientation was held at the EDSA Shangri-La Hotel in Mandaluyong City. PROTECTING THE FUND, All members of the Board also attended the Training on Equity Investment conducted by the Asian Institute of Management on 25 September 2018, also PROTECTING THE MEMBERS at the EDSA Shangri-La Hotel in Mandaluyong City. Establishing Risk Management Policies COMPLIANCE AND As a government ¬financial institution (GFI) mandated to provide, manage, and invest the provident savings of its members, Pag-IBIG Fund TRANSPARENCY set in place, a Risk Management Plan to ensure that the investment and fi¬nancial management activities undertaken by the Fund will not expose Pag-IBIG Fund adheres with compliance rules and regulations established the members’ savings to threats of loss and risks against security and through pertinent laws, and issued by the GCG and other regulating bodies. The sustainability. Fund’s Compliance Officer promotes the implementation of said compliance rules, addresses infringements, if any, and reports to Management, if necessary. The Revised Risk Governance Structure was approved to expand the Risk Management Team wherein each Risk Sub-Committee member shall Grievance machinery designate a representative to the Enterprise Risk Management Working Group with the following functions: Pag-IBIG Fund has a Grievance Machinery, a venue to lodge complaint by employees against officers or co-employees. It is intended to simplify, speed 1. Monitor business units’ adherence to framework and strategy; up, and install an effective, expeditious, fair, equitable, and just grievance 2. Compile risks across operating units; machinery to create an atmosphere conducive to good employee-supervisor 3. Monitor and evaluate exposures or breaches with respect to limits relationship and boost employee’s morale. and targets; and 4. Aggregate risks and escalate recommendations to Risk and Capital Management Committee and Board Risk Capital Committee, through Whistleblowing Policy the Risk Management Task Force. Pag-IBIG Fund has also implemented a Whistle-Blowing Policy, which allows To further firm up the Risk Governance Structure, the creation ofa the reporting of suspected or actual act of theft/fraud, violation of ethical Compliance Unit or the constitution of the Compliance Risk Committee standard, and/or misconduct of any officers or employees. and its Enterprise Risk Management Working Group was undertaken for the construct of independent assessment of compliance with relevant Whistleblowers are encouraged to report, with evidence as much as possible, laws, rules, and regulations, and with internal policies. Likewise, this Unit any claim of irregularity that breaches Pag-IBIG Fund’s standards on good or Risk Sub-Committee is responsible for the determination of areas that governance, public policy, and code of conduct for civil servants. may potentially result in risk of loss due to inadequate or failed internal processes, systems, and people. Whistleblower reports remain confidential, with the whistleblower offered protection from possible retaliation. One of the policies approved by the Board is the creation of a Business Continuity Management Policy (BCMP). This emerged as the Fund The Pag-IBIG Fund website provides a copy of the policy. Whistleblowers may necessitated to have a common framework to manage business continuity; report any suspected irregularity through the following: to proactively improve resiliency efforts when faced with disruptions to key value streams; to enable the Fund to resume critical operations swiftly Mailing address: to minimize operational, financial, legal, reputational, and other materials Office of the Chief Legal Counsel risks arising from disruption; and to help mitigate systematic risks, as well 41/F, Petron Megaplaza as maintain public trust and confidence in the Fund. 358 Sen. Gil Puyat Avenue Makati City

Email: [email protected] Phone no.: (02) 822-4280

125 126 DEVELOPMENT AND GROWTH HRSG strived to provided wellness programs for the employees, at least once every quarter. FOR THE LINGKOD Pag-IBIG

By the end of December 2018, there are more than 9,000 Pag-IBIG Fund employees, or Lingkod Pag-IBIG carrying out the Pag-IBIG Fund mandate in the service of the Filipino workers.

As the main vehicle in the delivery of public and social service, Pag- IBIG Fund ensures the health, safety, and welfare of every Lingkod Pag-IBIG. HRSG also provided training programs for the development of the employees. The HDMF Manual of Corporate Governance provides that Fund Officers and employees are entitled to reasonable and competitive compensation, security of tenure, an environment that is conducive for work, a company culture that is inclusive and fosters the employee’s holistic growth, and development within the organization.

To carry out this policy, the Pag-IBIG Fund Human Resources Services Group (HRSG) ensures that programs and activities are implemented that will promote the development of the Lingkod Pag-IBIG’s well- being.

The HRSG spearheaded the release of the HR Bulletin, which provides the employees with timely advisory regarding health, safety, benefits, and wellness activities for the employees. Important information regarding prevailing illnesses are published to warn and prepare employees of the things they must do for prevention and cure, should they be infected.

127 128 SEC. EDUARDO D. DEL ROSARIO Chairman, Housing and Urban Development Coordinating Council

Retired Major General Eduardo D. del Rosario, Filipino, 61 years old, was appointed as Chairman of the Housing and Urban Development Coordinating Council (HUDCC) on 12 July 2017. As HUDCC Chairperson, Sec. del Rosario becomes de facto ex-officio Chairman of the Pag-IBIG Board.

Sec. del Rosario served the military for almost 37 years, until his compulsory retirement in November 2012. During his military career, he has served as General Officer-in-Charge of the Southern Luzon Command and as Commander of the 2nd Infantry Division of the Philippine Army, among others. He also headed “Task Force Kalihim” in August 2012, which spearheaded the search and retrieval operations for the remains of the late DILG Secretary Jesse Robredo from a plane wreckage in the Province of Masbate. He received the Bakas Parangal ng Kabayanihan for accomplishing this mission.

After his retirement from the military, Sec. del Rosario was appointed as the Administrator of the Board Profile Office of Civil Defense, while concurrently serving as the Executive Director of the National Disaster Risk Reduction and Management Council (NDRRMC) from February 2013 to May 2014. On 30 June 2016, Sec. del Rosario was appointed as Undersecretary for Civil, Veterans and Retiree Affairs of the Department of National Defense—a position he held until his appointment to HUDCC.

Aside from his role as housing czar, Sec. del Rosario also heads Task Force Bangon Marawi, mandated to oversee the rebuilding and rehabilitation of Marawi City after it was attacked by the terrorists under the Maute group.

Sec. del Rosario took up Bachelor of Science in Mechanical Engineering in Adamson University before joining the Philippine Military Academy. He was a member of the 1980 Class Mapitagan, graduating with a bachelor’s degree in Military Science.

Sec. del Rosario completed his graduate studies with a master’s degree in Public Administration from the Philippine Christian University in 2012, and a master’s in Business Administration from the Ateneo Graduate School of Business in 1994.

129 130 SEC. CARLOS DOMINGUEZ III ACMAD RIZALDY P. MOTI Vice Chairman, Department of Finance Chief Executive Officer, Pag-IBIG Fund

Finance chief and economist Carlos Dominguez III, Filipino, 73 years old, was appointed as Chief Executive Officer Acmad Rizaldy P. Moti, Filipino, 44 years old, was appointed as head of Secretary of the Department of Finance (DoF), and de facto Vice Chairman of the Pag-IBIG Board Pag-IBIG Fund on 17 May 2017. of Trustees on 30 June 2016. After graduating from college in 1995, CEO Moti began his career as a faculty member of the Sec. Dominguez has over 40 years of experience in both the government and the private sector. He University of the Philippines. In November 1998, he started his career as a banker with Asia began his career in government service in 1986 when he assumed the leadership of the Ministry United Bank (AUB), leaving a couple of years after to launch the web development start-up agency, of Natural Resources, and then with the Department of Agriculture in 1987. He left government 25by8, where he manned its daily operations. He went back to AUB in 2006, and then became the service in 1989 and held top executive posts and chairmanship in the private sector, most notably Vice President for Chinatrust (Philippines) Commercial Bank Corporation, where he managed the as Chairman and President of Philippine Airlines (1993 - 1995), and the Philippine Tobacco Flue- Software Development and Maintenance Group. Curing and Redrying Corporation (1992 - 2016). His family also owns the prestigious Marco Polo Hotel in Davao City. In 2008, he joined Pag-IBIG Fund as the Senior Vice President for the Information Technology Services Sector. He was then tasked to lead the Fund’s Home Lending Operations Cluster in 2011. He returned to public service in 2016 as Finance Secretary to support his childhood friend and Under his mettle, Pag-IBIG Fund registered its highest housing loan take out and improved its classmate President Rodrigo Roa Duterte. performing loans ratio. He took over the Fund’s full operation as officer-in-charge in March 2017 until he was eventually appointed by President Rodrigo Roa Duterte on 26 May 2017. Sec. Dominguez graduated in Ateneo de Manila University with a Bachelor’s Degree in Economics (1965), and a Master’s Degree in Business Administration (1969). In 1982, he completed the CEO Moti is a Computer Science degree holder from the University of the Philippines, obtaining Executive Management Program offered by Stanford University’s Graduate School of Business. a bachelor’s degree in 1995 and has completed all academic requirements towards a master’s degree in 2000.

131 132 SEC. BENJAMIN DIOKNO SEC. SILVESTRE BELLO III Department of Budget & Management Department of Labor and Employment

Sec. Benjamin E. Diokno, Filipino, 70 years old, was appointed as Secretary of the Department of Sec. Silvestre H. Bello III, Filipino, 74 years old, was appointed as Secretary of the Department of Budget and Management (DBM) on 30 June 2016. Labor and Employment on 30 June 2016.

Professor Diokno is an academic and an educator. He is Professor Emeritus of the University of the A seasoned lawyer, Sec. Bello served the Department of Justice, initially as Undersecretary from Philippines (Diliman), having taught graduate and undergraduate courses on Public Economics, 1986 to 1991, and eventually as Justice Secretary until 1992. He was again appointed as Justice Microeconomics, Development Economics, and Special Topics (including Public Enterprise Secretary in 1998. Sec. Bello also served as the Solicitor General from 1996 to 1998. Sec. Bello is Investment and Pricing Policies, and Public Sector Reforms), from June 1974 to March 2013. also a distinguished associate of several law firms.

An economist, a financial analyst, and a public servant, this is Sec. Diokno’s third time to lead the As a public servant, Sec. Bello has served the government under four administrations in various budget department. From 1986 to 1991, he served as Undersecretary for Budget Operations, capacities. He was the Chairman of the GRP Negotiating Panel for Peace Talks (2001 - 2004), under President Corazon Aquino’s term, providing technical assistance to several major reforms served as CEO of the PNOC- Development & Management Corp. (2004 - 2005), CEO of the such as the 1986 Tax Reform Program and the 1991 Local Government Code. During President Philippine Reclamation Authority (2006), Presidential Adviser for New Government Centers (2007 Joseph Ejercito-Estrada’s term from 1998 to 2001, he was appointed as DBM Secretary where he - 2008), and Cabinet Secretary (2008 - 2010), acting as Oversight Officer for Indigenous People introduced several reforms towards transparency and improved government service delivery. and Cabinet Officer for Regional Development for Region II. Sec. Bello also served in the 16th In between his terms as budget secretary, Sec. Diokno also served as the Fiscal Adviser for the Congress (2013 - 2016) as representative for the 1BAP Party List. Senate, providing economic advice on fiscal affairs. Sec. Bello finished his BA Political Science degree from Manuel L. Quezon University in 1961, and Sec. Diokno also held board positions in different institutions: as Chairman of the Board for Local took his Bachelor of Laws in 1970 from the Ateneo de Manila University where he graduated with Water Utilities Administration (1990 - 1991); as member of the Board for Philippine National Oil distinction. Company (December 1998 - March 1991), and eventually serving as its Chairman and CEO (April to August 1991); as Independent Director for Asia United Bank (2012 - 2016), while concurrently serving as Chairman of the Board for the Pamantasan ng Lungsod ng Maynila (2014 - 2016).

Prior to his appointment as Budget Management Secretary, Professor Diokno is a political and economic commentator, maintaining a weekly editorial/opinion column for Business World, Malaya Business Insight, and The Daily Tribune.

Dr. Diokno graduated with a Bachelor of Arts in Public Administration from the University of the Philippines (UP) in 1968. He also completed two graduate programs in UP: Master of Public Administration in 1970 and MA Economics in 1974. In 1972, he also completed, with Very High Distinction, a Certificate on Development Economics, a course that was provided by the University of the Philippines and University of Wisconsin on a joint program. In 1976, he attended John Hopkins University in Maryland USA, and completed MA Political Economy, his third graduate program. Dr. Diokno earned his doctorate degree in Economics from the Sycrause University in New York, USA in 1981.

133 134 SEC. RAMON LOPEZ Department of Trade and Industry Trustee CORNELIO P. ALDON Private Employers’ Representative Sec. Ramon M. Lopez, Filipino, 59 years old, was appointed as the Secretary for the Department Atty. Cornelio P. Aldon, Filipino, 65 years old, was appointed as Pag-IBIG Fund Trustee in 04 of Trade and Industry on 30 June 2016. October 2017 as private sector employer representative. Sec. Lopez began his career as a public servant working in the Presidential Management Staff Trustee Aldon started as a Paralegal Staff in Pefianco and Associates Law Office in 1975. In 1976, Office (1981), the Department of Trade and Industry (1982 - 1989), and the National Economic he held his first government post, working in the Ministry of Local Government and Community Development Authority (1989 - 1993). Development until 1978. After which he spent a year in the Interim Batasan Pambansa (IBP). After passing law school, he worked in the Metro Manila Commission providing legal service In 1994, Sec. Lopez established his career in the business sector, working for more than two through various positions until 1995. In 1998, he became Legal Counsel to MMC, which has been decades as top executive of RFM Corporation until his appointment as DTI secretary in 2016. reorganized to become the Metro Manila Development Authority. From 2002 to 2004, he served as member of the board of the APO Production Unit, Inc. While engaged with his private sector commitments, Sec. Lopez also launched GoNegosyo -- an advocacy group promoting trade and entrepreneurship to small and micro business owners, A practicing lawyer specializing in trial work and litigation, Trustee Aldon was a managing partner PWDs, out-of-school youth, and other marginalized sectors -- where he held the position of and co-founder of Aldon, Puhawan & Associates from 1984 to 1995. In 1995, he established the Executive Director for the past 11 years. Aldon Law Office, which he manages until present. Sec. Lopez graduated in 1981 with a BA Economics degree from the University of the Philippines, Trustee Aldon spent the first three (3) years of his collegiate life in Ste. Peter’s Seminary (1971- and completed the graduate program for Development Economics at Williams College in 1973) taking up Bachelor of Arts but was curtailed with his detention during Martial Law. After he Massachusetts, USA in 1988. was released, he spent one (1) semester in the University of San Carlos (1974), before completing his bachelor’s degree in Arts, majoring in English and History. In 1980, he completed his Bachelor of Laws degree from the University of the Philippines.

135 136 Trustee PEDRITO G. ANGELES Trustee MA. LORELEI C. FAJARDO Private Employees’ Representative Government Employees’ Representative

Trustee Pedrito G. Angeles, Filipino, 70 years old, was appointed as Pag-IBIG Fund Trustee on 02 Trustee Ma. Lorelei C. Fajardo, Filipino, 48 years old, was appointed as Pag-IBIG Fund Trustee on June 2017 as Private Employees’ Representative. 27 June 2017 as Government Employees’ Representative.

Trustee Angeles is an accomplished operations and banking executive, beginning his career in Trustee Fajardo began her career as a Marketing Assistant for Asian Bank, but having been raised branch operations with the Rizal Commercial Banking Corporation in Davao from 1971 to 1990. in a family of public servants, she soon heeded the call for public office. She served as Chief of Staff He then spent the next twenty-five (25) years with United Coconut Planters Bank, retiring from to Congressman Pacifico M. Fajardo from 1995 to 2000. In 2001, she was elected as the Mayor of the bank in 2005 as Vice President and Area Head. Palayan City, Nueva Ecija, where she was also elected as the National Treasurer for the League of City Mayors in the Philippines. After her term as mayor, she worked as Assistant Secretary to In 2006, he was appointed by the court as Rehabilitation Receiver for the troubled Apo View the Office of the Presidential Chief of Staff. In 2007, former President Gloria Macapagal-Arroyo Hotel, a position he held until 2015. Trustee Angeles also managed the Rural Bank of Montevista appointed Trustee Fajardo as Deputy Presidential Spokesperson, and concurrently as Presidential in Tagum City (2013 - 2014) and the Rural Bank of Lebak in Sultan Kudarat (2016 - 2017), applying Assistant for Central Luzon. In 2013, she became a host and producer of the radio program Smiley the expertise he gained in the banking industry. He is currently involved with the Silangan Multi- Pinoy. At the same time, she has been tapped to become the Outreach Specialist of Development Purpose Cooperative in Davao City, where he was elected Chairman of the Elections Committee. Alternatives, Inc., which is one of USAID’s implementing partner in facilitating public investment projects. Trustee Angeles graduated from Ateneo de Davao College with a bachelor’s degree in Banking and Finance, and pursued law for further studies in Ateneo de Davao Law School. Trustee Fajardo completed a bachelor’s degree in Business Administration from Miriam College in 1993. In 1994, Trustee Fajardo pursued further studies in the New York Institute of Finance, with a Certificate on Finance Management and Certificate on Options Market. In the same year, she also completed a Certificate on 21st Century Management with the New York University in the USA. Trustee Fajardo was also a candidate for the Graduate Program on National Defense provided by the National Defense College.

137 138 Trustee MYLAH R. ROQUE Trustee CRISOSTOMO G. GOTLADERA Private Employers’ Representative Private Employees’ Representative Trustee Mylah R. Roque, Filipino, 49 years old, was appointed to the Pag-IBIG Board of Trustees Trustee Crisostomo G. Gotladera, Filipino, 67 years old, was appointed as Pag-IBIG Fund Board of on 19 September 2017. Trustee, representing Private Employees’ Representative on 27 December 2017.

Trustee Roque is currently the managing director of Biancham Trading and Holdings Inc. since Trustee Gotladera started his career as a hotelier, managing Loyola Arms Hotel (1989 - 1990), and 2015. She worked at RPN9 as a broadcast journalist from 1995 to 2001 and at the Senate of the Hyatt Hotels (1990 - 1998) both located in Illinois, USA. He became the Provincial Administrator Philippines from 1991 to 1995. for Sorsogon from 1998 to 2000. After which, he went back to the USA and worked as a Real Estate Broker. He has been engaged in various ventures, putting up an ice plant business and The National Museum exhibited her photographs of Marawi after the siege from September to working as top executives for several corporations in Sorsogon. In 2013, he ventured into politics November 2018. and won as Councilor in the Municipality of Bulan. Trustee Gotladera is currently the National Sales Director of Agrimen, Inc. A published writer, Trustee Roque co-authored “Bittersweet Stories of Farm Workers in the Philippines”, a book that examines agrarian reform cases in four provinces (Negros Occidental, Trustee Gotladera holds a Bachelor of Science degree, major in Psychology, graduating from the Negros Oriental, Bukidnon, and Davao Oriental), focusing on the best and the worst experience Ateneo De Manila University in 1972. In 1997, he signed up for a graduate program on Local of farmers on CARP. She also contributed to the book “The Right to Vote: Filipinos with Disabilities Government Management from Bicol University where he was credited with masteral units. and the 2013 Elections“, which tells the stories of people with disabilities (PWDs) in exercising Trustee Gotladera is a licensed real estate broker, receiving his board licensure from the State of their right to vote during the 2013 elections. Both publications were published in 2013. Illinois Board of Realtors in 1985.

She graduated with a bachelor’s degree in Communication Arts from the University of the Philippines, where she also completed the academic requirements for the Art History graduate program.

139 140 I. Executive Offices II. Member Services Cluster

Internal Audit Services Group Member Services Operations Sector (Corporate Headquarters, Petron Mega Plaza, 358 Sen. Gil J. Puyat Avenue, Makati City) Other Working Group Project Team (Corporate Headquarters, Petron Mega Plaza, Operations Audit Department 358 Sen. Gil J. Puyat Avenue, Makati City) Manager - Gloria A. Bautista Manager - Domingo C. Jacinto, Jr.

Financial Audit Department Manager - Nelin P. Paraiso International Operations Group (317 Justine Building, Sen. Gil J. Puyat Avenue, Legal and General Counsel Group Makati City) (Corporate Headquarters, Petron Mega Plaza, 358 Sen. Gil J. Puyat Avenue, Makati City) OFW Center Operations Department Manager - Juanito Angelito A. Jareño Corporate Business and Legal Advisory Department OFW Technical and Administrative Services Manager - Atty. Deborah R. Capili Department Manager - Rosette Ramona T. Ignacio Legal Department Manager - Atty. Jose Roberto F. Po Member Services Operations- NCR North East Group Management Services Group (Corporate Headquarters, Petron Mega Plaza, Member Services Branch Operations-NCR Pag-IBIG Fund Offices 358 Sen. Gil J. Puyat Avenue, Makati City) North (795 Anchor Center, EDSA, Quezon City) Corporate Planning Department Officer-In-Charge - Fernando C. De Paz Manager - Ronnald S. Guevarra Member Services Branch Operations-NCR East Management Systems Department (611 Westar Building, Shaw Boulevard, Pasig Manager - Wennie B. Jaudian City) Officer-In-Charge - Perlacita A. Roldan Research and Development Department Manager - Anella Marie L. Allena Member Services Operations- NCR South West Group Public Relations and Information Services Group Makati Central Business District-NCR South (317 Justine Building, Sen. Gil J. Puyat, Makati Member Relations Department City) (JELP Bldg., 409 Shaw Boulevard, Mandaluyong Manager- Yolanda A. Febre City) Manager - Jerrilyn L. Pilar Outside Makati Central Business District-NCR South Public and Media Affairs Department (317 Justine Building, Sen. Gil J. Puyat Ave., (Corporate Headquarters, Petron Mega Plaza, Makati City) 358 Sen. Gil J. Puyat Avenue, Makati City) Manager - Vincent N. Nery Manager - Florencio Pedro O. Galang, Jr.

141 142 Member Services Operations-NCR West Central Luzon II Area Western Mindanao Area Loans Origination Department (Roxas Strip Building, Libertad cor. Roxas (Suburbia Commercial Center, Maimpis, City (Pag-IBIG Fund Building, San Jose Road, Manager - Jerome V. Badiong Boulevard, Pasay City) of San Fernando, Pampanga) Baliwasan, Zamboanga City) Manager - Sylvia A. Vista Area Head - Florentino D. Yumul Area Head - Mary Joanne I. Reyes Loans Management and Recovery Department Manager - Noli O. Martirez Technical and Administrative Support-Cavite Ilocos Region Area Southern Mindanao Area (Olma Building, Emilio Aguinaldo Highway, (Pag-IBIG Fund Building, Government Center, (Pryce Tower Building, JP Laurel St., Davao Naga Housing Business Center Imus, Cavite) San Fernando City, La Union) City) (Bldg.1 ALDP Plaza Mall, Roxas Ave., Naga City) Manager - Jannet P. Cayabyab Area Head - Mary Jocelyn N. Retuya Area Head - Elizabeth V. Tinagan Head - Theody Jean D. Amador

Cagayan Valley Area South-Western Mindanao Area NCR Technical and Administrative Support (Editha Tuddao Building, Balzain Road, (EJ Yomom Building, Santiago Boulevard, Home Lending Operations - Visayas- Group Tuguegarao City, Cagayan) General Santos City) Mindanao Group Area Head - Elvis C. Salonga Area Head - Manolito O. Olegario Technical and Administrative Support-NCR Cebu Housing Business Center North Southern Tagalog Area (WT Corporate Tower, Mindanao Ave. cor. (145 Union Square Condominium, 15th Ave., (High Rise Business Center, Brgy. Halang, III. Home Lending Operations Cluster Archbishop St., Cebu Business Park, Cebu City) Cubao, Quezon City) Calamba City, Laguna) Manager - Josephine M. Rodriguez-Santiago Area Head - Maria Elsa C. Naga Home Lending Operations – Luzon Group Loans Origination Department Manager - Paulino C. Talacay Technical and Administrative Support-NCR Bicol Region Area San Fernando Housing Business Center East [Bldg. 1 ALDP Plaza Mall, Roxas Ave. (Diversion (Suburbia Commercial Center, Maimpis, City Loans Management and Recovery Department (145 Union Square Condominium, 15th Ave., Road), Naga City] of San Fernando, Pampanga) Manager - Anthony L. Maglunsod Cubao, Quezon City) Area Head - Ma. Luisa P. Barcebal Manager - Christian C. Chua Business Development Department Bacolod Housing Business Center Officer-In-Charge - Brenda T. Cao (Gaisano Grand City Mall, Araneta St., Technical and Administrative Support-NCR Member Services Operations-Visayas- Singcang, Bacolod City) South Mindanao Group Loans Origination Department Manager - Wilmer B. Lirazan (317 Justine Building, Sen. Gil J. Puyat Ave., Manager - Philip S. Keith Makati City) South-Central Visayas Area Cagayan De Oro Housing Business Center Manager - Helen M. Paner (WT Corporate Tower, Mindano Ave. Loans Management and Recovery Department (Pag-IBIG Fund Building, J.R. Borja-Mortola St., cor. Archbishop St., Cebu Business Park, Cebu Manager - Josephine S. Reyes Cogon, Cagayan de Oro City) Technical and Administrative Support-NCR City) Manager - Reynaldo P. Cue West Area Head - Jovelita V. Custodio La Union Housing Business Center (317 Justine Building, Sen. Gil J. Puyat Ave. (Pag-IBIG Fund Building, Government Center, Zamboanga Housing Business Center Makati City) North-Central and Eastern Visayas Area Sevilla, San Fernando City, La Union) (Pag-IBIG Fund Building, San Jose Road, Manager - Melba Flor M. Badilla (WT Corporate Tower, Mindano Ave. cor. Head - Lydia T. De Castro Baliwasan, Zamboanga City) Archbishop St., Cebu Business Park, Cebu City) Head - Eric Ignacio F. Matutino Technical and Administrative Support-Imus Area Head - Sulpicio C. Villegas Tuguegarao Housing Business Center (Olma Building, Emilio Aguinaldo Highway, (Editha Tudda Building, Balzain Road, Davao Housing Business Center Imus, Cavite) Western Visayas Area Tuguegarao City, Cagayan) (Pryce Tower, JP Laurel St., Davao City) Officer-In-Charge - Mary Ann C. Orias (Gaisano Grand City Mall, Araneta St., Head - Engr. Danilo P. Catolos Singcang, Bacolod City) Business Development Department Area Head - Ronnie S. Abelo Calamba Housing Business Center Manager - Cesar C. Bazan Member Services Operations- Luzon (High Rise Business Center Building, Brgy. Group Northern Mindanao Area Halang, Calamba City, Laguna) Loans Origination Department (Pag-IBIG Fund Building, J.R. Borja-Mortola St., Manager - Engr. Noli D. Armada Central Luzon I Area Cogon, Cagayan de Oro City) Business Development Department (Suburbia Commercial Center, Maimpis, City Area Head - Ferdinand F. Saniel Head - Engr. Sigfred T. Briones Loans Management and Recovery Department of San Fernando, Pampanga) Manager - Cesar Virgilio A. Labuguen Area Head - Imelda Nimfa A. De Guzman

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Loans Operations Sector Administrative Services Sector

(409 JELP Business Solutions Building, Shaw Foreclosure Department Human Resource Services Group Information Systems Group Boulevard, Mandaluyong City) Manager- Merlyn P. Medina (Corporate Headquarters, Petron Mega Plaza, (409 JELP Business Solutions Building, Shaw 358 Sen. Gil J. Puyat Avenue, Makati City) Boulevard, Mandaluyong City) Housing Operations Support Unit Head - Napoleon V. Ala II Business Development Sector Human Resource Development Information Systems Development Department Department Property Valuation Department Corporate Sales Group Manager - Atty. Ryan R. Espinosa Manager - Robert E. Pilapil Manager - Engr. Maria Imelda E. Pabros (409 JELP Business Solutions Building, Shaw Boulevard, Mandaluyong City) Human Resource Management Department Information Systems Quality Assurance Manager - Maria Joyce N. Mercado-Rojas Department Loans Origination Group Institutional Housing Department Manager - Lilia Flor S. Ambal (409 JELP Business Solutions Building, Shaw Manager - Nanette Gerarda T. Abilay Boulevard, Mandaluyong City) Facilities Management and General Data Center Department Acquired Assets Management Group Services Group Officer-In-Charge - Jonathan D. Haber Servicing Department (409 JELP Business Solutions Building, Shaw (Corporate Headquarters, Petron Mega Plaza, Manager - Mary Annette R. Samano Boulevard, Mandaluyong City) 358 Sen. Gil J. Puyat Avenue, Makati City)

Loans Evaluation Department I (Retail Marketing and Sales Department General Services Department) Manager - Yolanda M. Bordador Manager - Wilhelmina S. Espineli Manager - Merlita A. Catapang Facilities and Office Services Department Loans Evaluation Department II (Developer IV. Support Services Cluster Manager - Arch. Lora B. Rivera Assisted Department) Manager - Priscila A. Valenzuela Financial Services Sector Integrated Records and Information Management Department Finance Group Officer-In-Charge - Nanette Angela L. Dacayo Loans Management Group (Corporate Headquarters, Petron Mega Plaza, (409 JELP Business Solutions Building, Shaw 358 Sen. Gil J. Puyat Avenue, Makati City) Boulevard, Mandaluyong City) Information Technology Services Sector Operations Accounting Department Accounts Management and Billing Officer-In-Charge - Lorna M. Del Rosario Information Systems Security Department Department (409 JELP Business Solutions Building, Shaw Manager - Ma. Socorro R. Singzon General Accounting Department Boulevard, Mandaluyong City) Manager - Estrella A. Santos Manager - Nilo M. Lumberio Loans Support Services Department Manager - Cristina A. Estepa Fund Management Group Computer Operations and Support Services Loans Accounting Department (Corporate Headquarters, Petron Mega Plaza, Group Manager - Editha F. Pascua 358 Sen. Gil J. Puyat Avenue, Makati City) (409 JELP Business Solutions Building, Shaw Boulevard, Mandaluyong City) Loans Remediation Group Treasury Department (409 JELP Business Solutions Building, Shaw Manager - Jose M. Manalese Electronic Data Processing Department Boulevard, Mandaluyong City) Officer-In-Charge - Arlene M. Chu Investment Department Remediation Department Officer-In-Charge - Jose Rommel S. Bayan Computer Operations Task Force Manager - Annette V. Dominguez Officer-In-Charge - Anya Regina T. Morales

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