Authorized Government Depository Banks

November 10, 2003 DOF DEPARTMENT ORDER NO . 032-03 TO : All the Provincial, City and Municipal Treasurers, The Commissioners of Bureau of Internal Revenue (BIR) and Bureau of Customs (BOC), Heads of all Attached Agencies of the Department of Finance, and Heads of all Government Owned and/or Controlled Corporations (GOCCs) SUBJECT : Authorized Government Depository Banks This is to advise the Provincial, City and Municipal Treasurers, Commissioners of BIR and BOC, Heads of attached agencies of the DOF and Heads of all GOCCs that pursuant to Department Order (DO) No. 11-99 dated February 24, 1999 they may deposit their funds and maintain depository accounts preferably with: a. Land Bank of the Philippines; and b. Development Bank of the Philippines. By way of exception and update on the list of banks in DO No. 11-99 , Provincial, City and Municipal Treasurers, Commissioners of BIR and BOC, Heads of attached agencies of the DOF, and Heads of all GOCCs may likewise deposit their funds and maintain depository accounts with the following banks where government has shares of stocks or which are allowed by law to be government depository banks: a. Philippine National Bank granted with the authority to accept government deposits from October 10, 2003 up to 03 May 2007 subject to gradual reduction of the ratio of government deposits to total deposit liabilities in accordance with the limitations prescribed by the Monetary Board; b. Philippine Postal Savings Bank subsidiary of Philippine Postal Corporation created under Republic Act No. 7354 (" Postal Service Act of 1992" ); c. Thrift, Rural and Cooperative Banks may act as official depository of government funds pursuant to Republic Act Nos. 7906 ("Thrift Banks Act of 1995"), 7353 ("Rural Banks Act of 1992") and 6938 ("Cooperative Code of the Philippines"), and in exceptional cases as stated in DO No. 11-99 and subject to the prior approval and guidelines of the BSP; 1. Thrift Bank (authorized by Republic Act No. 7906) a thrift bank may act as official depository of national agencies, and of municipal, city or provincial funds in the municipality, city or province where the thrift bank is located, subject to such guidelines as may be established by the Monetary Board; ETDAaC 2. Rural Bank (authorized by Republic Act No. 7353) a rural bank may act as official depository of municipal, city or provincial funds in the municipality, city or province where the rural bank is located, subject to such guidelines as may be established by the Monetary Board; and 3. Cooperative Bank (authorized by Republic Act No. 6938) a cooperative bank may act as a depository of government funds for all government departments, agencies and units of the national and local governments, including government-owned or controlled corporations. d. United Coconut Planters Bank authorized to continue accepting National Government funds until further notice from the BSP subject to limitations prescribed by Monetary Board; e. Al-Amanah Islamic Investment Bank of the Philippines authorized by Republic Act No. 6848 (Al-Amanah Islamic Investment Bank Charter) under Section 6 (8) to act as an official government depository, or its branches, subdivisions and instrumentalities and of GOCCs, particularly those doing business in the autonomous region. DCaSHI f. Philippine Veterans Bank authorized by Section 6 of Republic Act No. 7169 which states that the Secretary of Finance, the National Treasurer and his authorized representatives, city and municipal treasurers, as well as custodians of public funds or those belonging to government-owned-or-controlled corporations, are hereby authorized if they so desire to make and actually maintain deposits of any government or corporate funds with the Veterans Bank, which is hereby declared to be a government depository. With respect to the Securities and Exchange Commission (SEC), the SEC may likewise deposit and maintain its cash balances with the Union Bank of the Philippines but only with regard to its Integrated Collection Facility/Register System in accordance with the Department's letter to the SEC dated 13 September 2002. Provincial, City and Municipal Treasurers, Commissioners of BIR and BOC, Heads of attached agencies of the DOF, and Heads of all GOCCs are hereby reminded that deposits and maintenance of funds with the foregoing banks must be in accordance with DO NO. 11-99 as herein amended, BSP Circular No. 110 Series of 1996 , applicable Monetary Board Resolutions, and other pertinent rules and regulations. ACHEaI This Order shall take effect immediately and accordingly amends DO No. 11-99 dated 24 February 1999 . Please be guided accordingly. (SGD.) JOSE ISIDRO N. CAMACHO Secretary