MANILA, Philippines — The Pag-IBIG Fund reached a historic financial milestone in 2025, with total member savings climbing to an all-time high of P160.41 billion.
According to a report on Thursday, February 12, 2026, the state-run housing agency saw a 21 percent increase in collections compared to the previous year, significantly strengthening its ability to fund affordable housing loans for millions of Filipinos.
Key Financial Drivers The record-breaking P160.41 billion total was driven primarily by a surge in voluntary contributions:
- MP2 Savings (P83.51 billion): The Modified Pag-IBIG II (MP2) program remains the most popular investment vehicle for members, accounting for more than half of the total savings.
- Voluntary Contributions (P93.6 billion): Total voluntary savings—which include MP2 and contributions above the required P200 monthly limit—made up 58 percent of all collections.
- Mandatory Contributions (P66.8 billion): Regular monthly savings from employees and their employers provided a steady foundation for the fund.
Impact on Housing Loans Secretary Jose Ramon Aliling, chair of the Pag-IBIG Board of Trustees, emphasized that this solid financial position allows the agency to maintain its pro-borrower policies:
- Subsidized Rates: Pag-IBIG recently announced it would keep the 3-percent interest rate for socialized housing loans under the Expanded Pambansang Pabahay Para sa Pilipino (4PH) Program.
- Price Ceilings: The agency is maintaining these low rates for the first five years of the loan, even as the government raises price ceilings for socialized housing units.
The “LODI” Trend Pag-IBIG CEO Marilene Acosta noted that the MP2 program has created a new segment of financially independent members. Many retirees and pensioners now refer to themselves as “LODI” (Living On Dividends), using their annual MP2 returns to cover daily living expenses.
Outlook for 2026 With an additional P27.61 billion collected in 2025 compared to 2024, Pag-IBIG is well-positioned to meet the rising demand for housing finance. The agency plans to continue its prudent management of funds to ensure high dividend returns for its savers while aggressively supporting the national government’s goal of bridging the country’s massive housing backlog.