The Bangko Sentral ng Pilipinas (BSP) posted a lower net worth of P133.78 billion as of end-February, down 4.5 percent from the same period last year of P140.09 billion because of lower surplus accounts and retained earnings.
Based on its latest assets and liabilities unaudited report, the BSP registered total assets P7.505 trillion during the period, up 2.2 percent from same time last year of P7.347 trillion. Total liabilities, meanwhile, grew 2.3 percent to P7.371 trillion versus P7.206 trillion in 2023.
BSP assets are boosted by the country’s international reserves and central bank holdings of domestic securities.
Total liabilities, on the other hand, are also higher due to more currency in circulation, obligations from reverse repurchase facility and revaluation of foreign currency accounts.
As for the BSP’s surplus reserves, this amounted to P73.78 billion as of end-February, down from P80.09 billion same time in 2023. Besides retained earnings and surplus accounts, surplus reserves comprise of capital reserves for contingencies and unrealized gains or losses from BSP’s securities and stock investments.
The BSP’s capital remains at P60 billion only, short of the P200 billion it had to have under the BSP Charter as amended in 2019.
Based on the BSP’s statement of income and expense, it reported total revenues of P34.15 billion for the first two months of 2024, up 37.4 percent from same time last year of P24.85 billion.
BSP revenues came from its interest income from international reserves and domestic securities. As of end-February, interest income reached P32.84 billion while miscellaneous income from trading gains/losses, fees, penalties, and other operating income, totaled P1.31 billion.
The central bank’s expenditures grew 14.2 percent to P40.14 billion from P35.17 billion same period last year. BSP’s interest expenses totaled P28.41 billion while other expenses amounted to P11.73 billion.
The BSP pay high costs for its banknotes production and coin minting cost, as well as taxes and licenses fees, and from its open market operations.
As of end-February, BSP reported a net loss of P2.24 billion, higher than the net loss recorded same time last year of P1.63 billion.
In the same period, the BSP’s foreign exchange or FX rates fluctuation also reported losses of P5.99 billion, lower compared to the previous year’s losses of P10.31 billion.
The BSP is one of the mandated seed money contributors to the Maharlika Investment Corp. (MIC) which will govern the Maharlika Investment Fund (MIF) based on Republic Act No. 11954.
The MIC will mobilize and utilize the MIF to fast-track the implementation of the government’s infrastructure flagship projects worth about P8.7 trillion.