Bank loan payments improve as rates easePreliminary data from the Bangko Sentral ng Pilipinas showed the banking system’s non-performing loan (NPL) ratio eased to 3.32 percent in November from 3.33 percent in October. Bad loans ratio drops to 3.3% in NovemberMANILA, Philippines — The quality of loans held by Philippine banks showed improvement in November last year as fewer borrowers fell behind on their payments, helped by lower interest rates and continued growth in lending. Preliminary data from the Bangko Sentral ng Pilipinas showed the banking system’s non-performing loan (NPL) ratio eased to 3.32 percent in November from 3.33 percent in October. He also said the continued double-digit growth in bank lending helped mathematically reduce the NPL ratio by widening the loan base, especially as banks strengthened credit risk management in line with global best practices. As of end-November last year, banks’ past due loans increased by 9.5 percent to P695.98 billion from P635.48 billion a year ago, bringing the past due ratio to 4.24 percent.

Source: Philippine Star January 18, 2026 23:52 UTC