A Senate resolution has been field calling for a review of the proposed merger between the Overseas Filipino Bank (OFBank) and the Land Bank of the Philippines (LandBank), citing the different mandates of the two institutions.

Senate Resolution No. 1281 filed by Senator Robinhood Padilla urges relevant government agencies to reassess the merger, underscoring the need to maintain separate entities that cater to overseas Filipino workers (OFWs) and agricultural stakeholders.

"The implications of this proposal must be thoroughly reviewed by relevant agencies, including but not limited to the Department of Finance, Governance Commission for Government-Owned or Controlled Corporations, Bangko Sentral ng Pilipinas, Department of Migrant Workers, and Overseas Workers Welfare Administration," Padilla said in the resolution.

The measure was prompted by a reported affirmation of the merger by the Department of Finance during a meeting on April 25, 2024.

Padilla said LandBank's primary function is to support small farmers, fishers, and agrarian reform beneficiaries with financial assistance and services.

He said OFWs have unique banking needs, which may require a specialized financial institution tailored to address their specific requirements.

"This proposal necessitates careful examination to ensure that the distinct needs of both OFWs and the agricultural sector are met without compromising the mandate of either institution," Padilla said.

The resolution seeks to ensure that the merger, if pursued, aligns with the government's broader goals of inclusive growth and responsive financial services.

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