BSP net profit falls in 2023

The Bangko Sentral ng Pilipinas’ (BSP) net income fell by 59.9% last year amid higher expenses.

Preliminary data from the central bank showed that its net profit declined to PHP 25.53 billion in 2023 from PHP 63.73 billion in the previous year.

The BSP’s expenses surged by 68.3% to PHP 244.21 billion last year from PHP 145.13 billion in 2022.

Broken down, interest expenses nearly doubled (96.5%) to P168.29 billion from PHP 85.63 billion, while other expenses rose by 27.6% to PHP 75.92 billion from PHP 59.5 billion.

Meanwhile, revenues stood at PHP 212.76 billion in 2023, 50.8% higher than the PHP 141.08 billion a year prior.

The BSP’s interest income climbed by 29.2% year on year to PHP 197.92 billion from PHP 153.20 billion.

Miscellaneous income, which includes trading gains, fees, penalties, and other operating income, stood at PHP 14.84 billion last year, a turnaround from the PHP 12.12-billion net loss recorded in 2022.

On the other hand, the central bank’s net gains from foreign exchange rate fluctuations dropped by 15.7% to PHP 57.02 billion from PHP 67.66 billion in 2022.

Separate BSP data showed total assets held by the central bank increased by 4.3% to PHP 7.56 trillion in 2023 from PHP 7.25 trillion a year prior.

Meanwhile, total liabilities went up by 3.9% to PHP 7.42 trillion from PHP 7.14 trillion. — Luisa Maria Jacinta C. Jocson