MANILA, Philippines - The bulk of deposits in all Philippine banks totaling P4.75 trillion as at end June this year are kept in the vaults of Metro Manila banks.
But deposit growth was fastest in places outside of Metro Manila and the National Capital Region and was most pronounced in Cagayan Valley or in the provinces of Batanes, Cagayan, Isabela and Nueva Vizcaya.
The same goes in the Autonomous Region in Muslim Mindanao (ARMM), which are places where bank densities are low.
“These suggest the potential for banking in areas outside Metro Manila waiting to be tapped,” the Philippine Deposit Insurance Corp. (PDIC) said in a statement on Tuesday.
Region 2 is at the heart of Ilocandia where very industrious people live simple frugal lives.
But the ARMM is another matter altogether as banks would rather do business elsewhere on account of its reputation, probably undeserved, as a land of violence and lawlessness.
Hardly any bank does business within the ARMM where the bank-density ratio stands at one bank serving 144,733 people in 2009 and worse than a year ago of one bank for every 141,488 people, according to the Bangko Sentral ng Pilipinas.
Bank density in the NCR in 2009 stood at one bank for every 4,087 people, an improvement from 4,218 in 2008.
According to the PDIC, the bulk of bank deposits totaling P2.24 trillion are kept in the vaults of banks operating in the cities of Manila, Makati and Quezon City.
This was 42.5% more than deposits of P1.57 trillion kept in all other regions outside the NCR, the PDIC said.
The city of Makati alone accounted for P1.19 trillion of the deposits while Manila banks had another P530 billion. Quezon City had P513 billion.
There was a 131% increase in savings accounts and a 55% increase in demand accounts in Makati, a development that helped fuel the more than doubling of bank accounts to P5.7 million as of end-June this year, the PDIC said.
The NCR as a whole captured 67% of all deposits amounting to P3.18 trillion during the period.
These were deposited in 2,738 banking units in the NCR or an average deposit of P1.16 billion per banking office.
Total deposits outside NCR were maintained in 5,240 banking offices amounting to P1.57 trillion, or an average deposit size of P300 million per banking office.
The national deposit per capita was placed at P50,527, but in the NCR, this was computed at P275,346, the PDIC said.
The second-highest deposit per capita in the country belonged to the Central Visayas region where it stands at P34,205.
Calabarzon was third where the deposit per capita stood at P28,851.
In the Cordillera Autonomous Region, the deposit per capita stood at P27,445.