Central bank posts lower net profit at end-Sept. due to higher expenses
THE CENTRAL BANK’S net income fell in the first nine months of the year, mainly due to increased expenses, preliminary data showed.
The Bangko Sentral ng Pilipinas’ (BSP) net profit dropped by 76.38% to P22.34 billion in the first nine months of 2023 from P94.58 billion in the same period last year.
The central bank’s revenues grew by 8.16% year on year to P131.1 billion in the ninemonth period from P121.21 billion.
Broken down, the BSP’s interest income rose by 25.9% to P144.19 billion as of September from P114.53 billion a year prior.
However, miscellaneous income, which includes trading gains, fees, penalties, and other operating income, stood at a net loss of P13.06 billion versus the P11.15-billion net profit in the first nine months of 2022.
Meanwhile, the central bank’s total expenses surged by 69.74% to P156.57 billion at end-September from P92.24 billion a year ago.
This came as interest expenses more than doubled, jumping by 132.6% to P123.95 billion in the period from P53.29 billion a year prior.
Other expenses incurred dropped by 16.23% to P32.63 billion from P38.95 billion a year earlier.
Meanwhile, the BSP posted a net loss from foreign exchange rate fluctuations worth P25.44 billion at end-September, a reversal of the P28.97billion gain in the same period last year.
Separate central bank data showed the total assets held by the BSP inched down by 0.1% to P7.33 trillion as of end-September. Liabilities also slipped by 0.48% to P7.19 trillion. Meanwhile, the central bank’s net worth rose by 24.95% to P136.99 billion at end-September from P109.64 billion a year ago. —