President Rody Duterte last night fulfilled another campaign promise when he approved the establishment of a bank which will ultimately be partly-owned by the Filipino working class, especially the Overseas Filipino Workers (OFWs).
During the Cabinet meeting in Malacañang last night, the President approved the proposal of Labor Secretary Silvestre Bello III for the acquisition of the Postal Bank which will be renamed as the Workers' Bank.
The Postal Bank will be initially acquired by the Land Bank of the Philippines and will be renamed the Workers' Bank.
The Workers' Bank will be a subsidiary of the LBP until such time OFWs and other Filipino workers have bought shares to own part of the bank.
Initially, Bello's proposal was for government to infuse P4-B into the Postal Bank after it has been acquired by the OFWs but Finance Secretary Carlos Dominguez argued that the plan would entail stringent requirements which will be imposed by the Central Bank.
Sec. Dominguez, supported by Budget Secretary Benjamin Diokno, proposed that Postal Bank be initially acquired by Land Bank as a subsidiary.
As the Workers' Bank grows, OFWs and other Filipino workers will be allowed to buy shares of the bank, thereby establishing the first bank which will be owned by the working class.
Source: Manny Piñol