Gov’t targeting to privatize PHP 2.5B assets this year

The Department of Finance’s (DoF) Privatization and Management Office (PMO) is targeting to dispose of at least 143 properties worth PHP 2.5 billion for the rest of the year.

“The aggressive disposition of nonperforming assets will provide much-needed revenues for priority projects. It will also clear the National Government’s books of stagnant assets,” Finance Secretary Benjamin E. Diokno said in a press chat on Friday.

Mr. Diokno said that the government last week approved the sale of six properties worth PHP 152.8 million, which will be bid out by the PMO. These include a PHP 25 million worth property owned by the Al-Amanah Islamic Investment Bank of the Philippines in Davao City and two lots worth PHP 25.34 billion in Davao City also owned by the bank.

Also included is a PHP 1.92-million property owned by the Central Bank Board of Liquidators in Pasay City; and two lots in Visayas owned by the Technology Resource Center worth PHP 50.4 million and PHP 50.2 million.

In the first quarter, the PMO approved the disposition of 31 properties worth PHP 912.17 million via public auction. It plans to sell 19 properties worth PHP 799.05 million in the second quarter.

The government is also targeting to sell 36 properties worth PHP 397.73 million by the third quarter and 57 properties worth P431.4 million in the fourth quarter.

The PMO is also targeting to dispose of the government’s 3.46% stake in NLEX Corp. by the third quarter, although this is still subject to third-party valuation. This plan is expected to be endorsed to the Privatization Council within the month.

Meanwhile, Mr. Diokno said that the government also approved the final sale of PHP 800 million worth of assets in the second half of 2022.

“I’d like to share that within the first six months of the administration, the Privatization Council approved the final sale of PHP 800 million from the approved PHP 1.9 billion worth of assets for disposition,” he said. — By Luisa Maria Jacinta C. Jocson