Press Release

DOMESTIC CLAIMS OF OTHER FINANCIAL CORPORATIONS (OFCs) RISE BY 7.3 PERCENT YOY IN Q1 2022

Based on preliminary data on the Other Financial Corporations Survey (OFCS), the domestic claims of the OFCs expanded by 7.3 percent in Q1 2022 to ₱7,330.2 billion from ₱6,832.1 billion in Q1 2021 (Figure 1).[1]  This growth was brought about by higher claims on the private sector and net claims on the central government.[2]

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In Q1 2022, the OFCs’ claims on the private sector rose from a year ago, owing to the sector’s higher investments in equity securities issued by private nonfinancial corporations as well as more loans extended to households. The growth in domestic claims can also be attributed to OFCs’ higher claims on the national government as evidenced by the sector’s increased holdings of government securities.

On the other hand, the OFCs’ claims on depository corporations declined in Q1 2022 compared to the same period last year, mainly due to the sector’s lower bank deposits and decreased holdings of debt securities issued by banks.

Meanwhile, OFCs recorded higher net foreign assets in Q1 2022, largely on account of increased investments in debt and equity securities issued by nonresident entities. 

The expansion in the OFCs’ assets was funded primarily by their issuances of shares and other equity.***

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