MANILA – The Government Service Insurance System (GSIS) announced it has earned PHP80 billion in the first 10 months of the year which is 117 percent higher than the same period last year.
In a news release on Sunday, GSIS president and general manager Wick Veloso said the improved profitability was due to strong revenues mainly in income from financial assets, which increased to PHP29 billion, as well as the investment property which increased by PHP8 billion from the revaluation gains of approximately 12,000 accounts appraised as of October.
He said the income derived from general insurance activities expanded by 7 percent, amounting to PHP6.2 billion as a result of an active marketing drive, including social insurance premiums which grew by 8 percent or PHP10 billion.
“We have maintained prudence in our expenses, which totaled PHP8.2 billion, marking an 8 percent reduction compared to the budget set for October 2023,” Veloso said.
“In fact, during the first 10 months of 2023, the pension fund’s expense loading was at 3.4 percent, way below the 12 percent Charter limit,” he said.
As of end-October 2023, the total assets of the GSIS stood at PHP1.6 trillion, posting a 4.4 percent increase from last year.
The GSIS has also extended its fund life to 35 years, an increase of five years from the last assessment in 2021.
“A longer fund life enables us to fulfill our responsibility of delivering benefits to our members and retirees on time. As a financial institution, our primary focus is to increase the contributions of our members by seizing strategic investment opportunities,” Veloso said.
By the end of the first nine months of the year, the total investment in real estate, infrastructure, food, energy, and mining, GSIS amounted to PHP1.3 trillion, representing an 11 percent growth.
Global investments also increased by 5 percent or PHP185 billion.
"These sectors are fundamental to the government's socio-economic agenda. Investing in them equates to a direct investment in the welfare and future of our nation and the Filipino," Veloso said.
Last October, GSIS reported a net income of PHP61 billion for the first half of the year, a 20-fold increase from the PHP3 billion in the same period the previous year.
As of July 31, GSIS recorded 2 million members and 586,791 pensioners who are being served through 42 branch offices, 15 extension offices, and 131 service desks with a total of 14,469 agency authorized officers and 12,397 electronic remittance file handlers. (PNA)
