The Board of Directors of the Pacific Islands Development Bank met in Pohnpei on December 12 to 15, 2007. Attending the meeting were Elbuchel Sadang representing the Republic of Palau, Justo Quitugua representing CNMI, Gibson Siba representing the FSM State of Kosrae, Joe Giliko representing the FSM State of Yap, Jack Yakana representing the FSM State of Pohnpei, and President and Chairman of the Board, Aren Palik. Director Lou Perez representing the island of Guam was absent.
Among the key agenda items were the review of the bank’s 2007 operating results and the bank’s 2008 budget and goals. Preliminary and unofficial results show that in 2007 the bank increased its total assets by 14% with loan balances showing an increase by 22% and net worth by 8%. Further, 2007 generated the highest revenue and net profit in the history of the bank. This strong performance has effectively and finally eliminated the bank’s accumulated deficit.
PIDB Board members during a courtesy call at the FSM President’s Office: Standing left to right: Senator Joe Giliko, State of Yap, PIDB President/CEO Aren B. Palik, Lt. Governor Jack Yakana, State of Pohnpei, FSM Vice President Alik L. Alik, Minister Elbuchel Sadang, Ministry of Finance, Republic of Palau, Senator Gibson Siba, State of Kosrae, and Vice Speaker Justo Quitugua, Commonwealth of the Northern Mariana Islands © PIDB
Other items reviewed by the Board included the bank’s loan portfolio in which it approved an increase in the allowance for loan loss reserve to $135,000. It also reviewed the bank’s rates and fee structure and made some changes as well as taking action on one loan recommended for charge off. The Board also reviewed the bank’s Articles and Bylaws in regards to the membership and composition of the board and arrived at several recommended amendments to be presented in the next Board of Governors meeting in Palau, 2008.
Under Old Business, board members were updated by President/CEO of the bank, Mr. Aren Palik in the following items – new PIDB membership, funding sources being pursued, PIDB scholarship, and the Yap Development Loan Fund program (more on these items in the next update).
The board decided to hold its next regular meeting in Palau to coincide with the annual PIDB Board of Governors meeting in April 2008.