Preamble
WHEREAS, the Development Bank of the Philippines, (DBP), in the pursuit of its objectives, extended financial assistance to various development projects and undertakings which are presently encountering operational and financial difficulties due to factors beyond its control (the "non-performing accounts"); WHEREAS, as a result of the large accumulation of non-performing accounts and the correspondingly low loan collections, the DBP is currently facing severe liquidity problems, thereby weakening its capability to continue financing development projects and maturing obligations; WHEREAS, the Government is willing to provide the necessary support and assistance in order to enable the DBP to operate viably, including but not limited to absorbing the liabilities of the DEP occasioned by the non-performing accounts, and undertaking the rehabilitation of companies or projects classified as non-performing accounts and/or the disposal of these companies or projects, whether completely rehabilitated or not, as well as other assets presently held by the DBP as a consequence of its having financed the projects; WHEREAS, there is need to establish a government-owned or controlled entity that will handle, administer, manage and otherwise dispose of the non-performing accounts and assets of the DBP and other government financial institutions to be transferred to the Government; NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, by virtue of the powers vested in me by the Constitution, do hereby order and decree: