“May magandang investment na kayo, makakatulong pa kayo sa programa sa pabahay na nagbebenepisyo sa maraming Pilipino at nakakatulong sa pag-unlad ng ating bansa. That, in my book, is a very good investment.”

This was the pitch of Vice President and concurrent Chairman of the Housing and Urban Development Coordinating Council (HUDCC) and the Home Development Mutual Fund (Pag-IBIG Fund) Board Noli “Kabayan” de Castro as he opened the Investors’ Briefing today for the issuance of P12 billion worth of Pag-IBIG housing bonds in March 2010.

“These bond issues have been very effective for us to raise additional funds for our housing loan program. Now, we are turning to the capital market again with our latest bond issue, and our biggest one to date,” De Castro informed.

Jaime A. Fabiaña, Chief Executive Officer, cites the features of the bonds: they are tax free, enjoy the full and unconditional guarantee of the Republic of the Philippines through the Home Guaranty Corporation; have a maturity date of five years and one day; serves as alternative compliance by banks with the Agri-Agra Law (Presidential Decree No. 717), reserve assets of insurance companies and compliance with the Urban Housing Development Act (UDHA).

Pag-IBIG has tapped the services of the Development Bank of the Philippines (DBP) and the First Metro Investment Corporation (FMIC) as Joint Issue Managers. The Land Bank of the Philippines (LBP) joins the DBP and the FMIC as Joint Lead Underwriters and the Bureau of the Treasury serves as Facility Agent and Registrar.

According to De Castro, “in 2009, around 300 families became new homeowners every working day, thanks to the Pag-IBIG housing loan program. We expect the number of borrowers to continue to grow this year and in the coming years. Your investment in the Pag-IBIG bonds will help us meet the demand for affordable housing loans.”

Last year, the Fund released P46 billion in end-user financing to over 74,000 members nationwide, making Pag-IBIG as the country’s biggest home financier today.

“I am here to tell you that this is also a good investment in a patriotic sense. By investing in Pag-IBIG bonds, you will be helping us contribute more to nation-building through housing,” the Vice President stressed.

The Forum was attended by key representatives of private banks, insurance companies, private developers and other financing institutions.