MANILA -- Bank of the Philippine Islands said Thursday net income in the January to March period fell 5 percent as consumers squeezed for cash led it to double provisions for loan losses.

The Ayala-led lender posted net income of P6.39 billion in the first quarter from P6.72 billion during the same period in 2019. The bank said it booked P4.23 billion in provisions for loan losses from P1.8 billion during the same comparable period.

The last half of March included the lockdown of half the population, which shut most businesses and required people to stay at home. President Rodrigo Durterte is scheduled to decide this week whether or not to extend it beyond April 30.

• 'High tech, low touch' is new normal as banks see economy through COVID-19
• Money discipline can save you from more COVID-19 headaches

The pandemic "ushers in a difficult period for consumers and
businesses that could lead to potentially higher NPLs (non-performing loans)," BPI told the stock exchange.

Total revenues in the first quarter grew 10.9 percent to P25.3 billion. Net interest income grew 13 percent to P18.1 billion while non-interest income rose 5.8 percent to P7.12 billion. Operating expenses grew 3.8 percent to P12.5 billion.

Total loans grew 7.3 percent to P1.45 trillion. As of March 31, the bank said it had a total NPL ratio of 1.82 percent.