15p Olivar Artwork
15p Tormes Artwork
15p Martinez Artwork
15p Montanez Artwork
Souvenir Sheets of One (5,000)
100p Ferdinand Magellan Circulating Note
Layout Artist: Maria Aimee J. Cabingao
Stamp Designs; From winners of PNB
Centennial Stamp Design Contest: Kenneth Olivar, Culiat High School
Category); Jean Christian Tormes, Philippine Institute of
Quezon City (Student Category); Jericho Martinez, Las Piņas
City (Open Category); Michael Montaņez, Bacoor, Cavite (Open
Category). Souvenir Sheet Design: 1920 PNB Circulating
Note featuring Ferdinand Magellan.
First Day Covers: Manila
Philippine National Bank - 100th Anniversary
Philippine National Bank was established as a government-owned
banking institution on July 22, 1916.
Its primary mandate was to provide financial services to
Philippine industry and agriculture and support the government's
economic development effort. During
World War I, there was a huge demand for the country's major exports
namely: sugar, copra, coconut oil, Manila hemp and tobacco. However,
not much was being done to develop the industries that produced
these sought-after crops since access to credit facilities was
limited. To solve this problem, Henderson Martin, Vice Governor of
the Philippines, together with Mr. Miguel Cuaderno (who later became
Central Bank governor) drafted the charter for a national bank.
In February 4, 1916, Public Act 2612 was passed by the Philippine
legislature providing for the establishment of the PNB to replace
the small P1 million government-owned Agricultural Bank. PNB's first
head office was the Masonic Temple along Escolta, the then "Wall
Street of the Philippines" in the bustling district of Sta. Cruz in
Manila. An American, H. Parker Willis, was its first president.
With PNB's establishment, Filipinos found a bank of their own. PNB
was authorized to grant short and long-term loans to agriculture and
industry. The Filipino farmers then could avail of loans with
interest between 8% to 10% per annum. PNB was also authorized to
receive deposits, open foreign credits and rediscount bills. It was
also given the special power to issue circulating notes. As such,
PNB functioned as the de facto Central Bank of the country until
In 1917, PNB marked its entry in the field of international banking
when it opened its New York Branch. The following year, it
established five more domestic branches and another overseas branch
in Shanghai, China.
During World War II, PNB briefly ceased
operations in January 1942 but reopened the next month under the
supervision of Japanese authorities. After the war, PNB reopened
immediately and acquired the assets and assumed the liabilities of
the banking division of the National Treasury.
However, with the establishment of Central Bank of the
Philippines in 1949, PNB's role as issuer of currency notes,
custodianship of bank reserves, sole depository of government funds
and clearing house of the banking system ceased.
In 1955, it was authorized to operate as an investment bank with
powers to own shares and to issue debentures. In 1963, it
established the National Investment and Development Corporation to
engage primarily in long-term and equity financing of business
Between 1967 and 1979, PNB continued to expand its
operations by opening offices in London, Singapore, Djakarta,
Honolulu and Amsterdam. In the domestic field, it opened 14
provincial branches. It was also during this period that the Bank
started the Dollar Remittance Program.
In 1980, PNB became the first universal bank in the country.
\In 1989, the
privatization of PNB started when 30 per cent of its outstanding
stocks were offered to the public and its stocks were listed in the
stock exchange. In 1992,
PNB became the first Philippine bank to reach the P100 billion mark
In 1996, the Securities and Exchange Commission approved the Bank's
new Articles of Incorporation and by-laws and the change in the
status of PNB from a government-based to a private corporation with
the control of the government reduced to 46 per cent.
At the turnover rites on July
23, 1996, President Fidel V. Ramos declared:
PNB is the bank for the Filipino wherever he or she may be -- in the
country's centers of commerce and industry, in the far reaches of
the countryside, and even in
many places across the globe."
In 1999, a group of new private stockholders led by Dr. Lucio C.
Tan acquired approximately 35% of the total outstanding capital
stock of PNB. In early 2000, the group increased its share in
the Bank to 69.32% and pumped in nearly P20 billion fresh capital in
less than one year. This was done to emphasize the commitment of the
new stockholders to the improvement of the Bank's financial
Today, PNB remains as one of the largest banks in the country with a
wide array of competitive banking products to answer for the diverse
needs of its huge clientele including more than 2 million