MANILA, Philippines – The Bangko Sentral ng Pilipinas (BSP) has ordered the closure of another rural bank as it continues to weed out weak players in the banking industry.
BSP deputy governor Nestor Espenilla Jr. said on Monday, February 1, that the central bank’s Monetary Board has issued Resolution No. 121 prohibiting the Lapu-Lapu Rural Bank Inc. from doing business.
Lapu-Lapu Rural Bank is located in Santa Catalina St., Poblacion II, Carcar City in Cebu.
It’s the second rural bank ordered closed by the BSP this year.
Last January 7, the BSP closed down the Rural Bank of Villaviciosa (Abra) Inc. located in Provincial Road, Poblacion, Villaviciosa, Abra.
In 2015, a total of 14 rural banks were ordered closed by the BSP’s Monetary Board and were placed under the supervision of the Philippine Deposit Insurance Corporation.
These include the Community Bank (Rural Bank of San Alfonso) Inc., Community Rural Bank of Magsaysay (Davao del Sur) Inc., Rural Bank of Labrador (Pangasinan) Inc., Rural Bank of Magsingal (Ilocos Sur) Inc., Rural Bank of Pres. Roxas (North Cotabato) Inc., Rural Bank of Sta. Magdalena (Sorsogon) Inc., Siargao Bank (A Rural Bank) Inc., Surigaonon Rural Banking Corp., Farmer’s Rural Bank Inc. in Batangas, Xavier-Punla Rural Bank Inc., Rural Bank of Buguias, Rural Bank of Calasiao, the Rural Bank of Caba (La Union) Inc. and the Peñafrancia Rural Bank of Calabanga (Camarines Sur) Inc. – Rappler.com