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Bank of the Philippine Islands n Makati on January 19, 2021. Jonathan Cellona, ABS-CBN News

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Jekki Pascual

ABS-CBN News

MANILA -- Bank of the Philippine Islands (BPI) is on a cautious mode in terms of loan and credit card approvals amid the Middle East crisis which has increased fuel prices.At its Annual Stockholders’ Meeting media briefing, BPI President and CEO Jose Teodoro “TG” Limcaoco said the conflict abroad impacts inflation and may also force people to recalibrate their budget or expenses, hence there is a need to assess every new credit card or loan application.“We will have to be a little more cautious as we have to understand what the economic situation might turn out to be and how that will affect the consumer,” Limcaoco said.He added, “Tightening credit standards is but natural in any banking operation when the economy goes south or gets a little worse.”BPI Head of Consumer Banking Maria Cristina Go said they will have to do some tightening, which will also protect the consumers themselves.“We will tighten our lending parameters. What does this tightening [mean]? It basically means looking at the income requirements and determining whether there is still capacity for a client to be able to manage a loan,” Go said.On the other hand, the bank is also open to restructuring loans of clients who may have been affected by the rise in prices. The Bangko Sentral ng Pilipinas had earlier urged banks to give a <a href="https://www.abs-cbn.com/news/business/2026/4/15/bsp-asks-banks-to-grant-up-to-6-months-grace-period-for-loans-1203" rel="noopener noreferrer" target="_blank">grace period</a> for a loan moratorium to borrowers affected by the crisis.“Encourage clients to come to the bank and ask for some relief- be that in terms of grace period or some relief in terms of managing the monthly amortization, longer tenure for example,” Go added.BPI continues to monitor the Middle East conflict and how it further impacts the economy. But its Chairman, Jaime Augusto Zobel de Ayala, assures stockholders the bank remains strong and is still one of the biggest financial institutions in the country.“Our direct exposure is limited. Less than 20 percent of our remittances are from the Middle East. We have no lending or investments in companies based in the region, and our consumer loans of OFWs, employers, they represent a small fraction of our overall loan portfolio,” Zobel de Ayala said.BPI’s net income grew to P16.9 billion for the first quarter of 2026, 1.7 percent higher than the same period last year. Total loans increased by 13.5 percent year-on-year to P2.6 trillion. The company said it has not yet revised its growth targets this year and continues to review the situation overseas.

BPI is cautious in terms of loan and credit card approvals amid the Middle East crisis, which has increased fuel prices.

BPI is cautious in terms of loan and credit card approvals amid the Middle East crisis, which has increased fuel prices.

BPI tightens loan and credit card approvals amid Mideast crisis

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BPI tightens loan and credit card approvals amid Mideast crisis

Jekki Pascual,

ABS-CBN News

Published April 20, 2026 05:41 PM PHT

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