Vice President Jejomar C. Binay said the National Home Mortgage Finance Corporation (NHMFC) has remitted P18 million to the national government, representing dividends due from the Corporation’s net earnings in 2010 and prior years.
Binay, concurrent Chairman of the Housing And Urban Development Coordinating Council (HUDCC) said that the NHMFC’s remittance is commendable because it was generated despite the subprime crisis that negatively affected the secondary home mortgage market globally.
“NHMFC envisions remitting higher dividends in the future, as it pursues its mandate to operate as the primary secondary mortgage institutions of the government in the current favorable interest rate environment,” Binay added.
The NHMFC is the major government home mortgage institution tasked to operate a viable secondary home mortgage market. It is also mandated to monitor the performance and implementation of the Community Mortgage Program (CMP) by its wholly-owned subsidiary, the Social Housing Finance Corporation (SHFC).
NHMFC President Felixberto U. Bustos turned over the check to President Benigno S. Aquino III at the Malacañan Palace during the annual ceremonial turnover of GOCCs’ dividends in celebration of the GOCC Day.
In the same ceremony, SHFC turned-over to the national government over P26 million as dividends payment.
Under Section 3 of R.A. 7656 or the Dividends Law, all Government-Owned and Controlled Corporations (GOCCs) and Government Financial Institutions (GFIs) are required to declare and remit at least 50 percent of their annual net earnings as cash, stock or property dividends to the national government.
To date, the total dividends remitted by the NHMFC have reached P158.00 million, based on net earnings from 2004 to 2010.