Nonbank financial sector assets hit P10.7 trillion
Growth in the nonbank, or other financial corporations’ domestic claims was mainly driven by higher investments in equity shares issued by nonfinancial corporations, increased holdings of government securities, and a rise in loans extended to households. This, however, was partially offset by declining holdings of bank-issued debt securities.
Gasoline price per gallon is displayed on a gas pump in Miami, Florida. According to new Bureau of Labor Statistics data released, the 12-month inflation rate climbed to 3 percent in September, up from 2.9 percent in August, as gasoline prices rose 4.1 percent, a major driver of inflation last month.
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The domestic claims of other financial corporations (OFCs) grew modestly by 0.1 percent quarter-on-quarter and 16.7 percent year-on-year, reaching P10.7 trillion in the second quarter of 2025, according to data from the Bangko Sentral ng Pilipinas (BSP).
The quarter’s increase was mainly driven by higher investments in equity shares issued by nonfinancial corporations, increased holdings of government securities, and a rise in loans extended to households.
The growth, however, was partially offset by declining holdings of bank-issued debt securities.
Total liabilities
Meanwhile, the sector’s total liabilities expanded to P11.4 trillion, largely due to higher stock issuances and increased insurance technical reserves.
OFCs’ net foreign assets also climbed to P0.7 trillion, supported by stronger claims on nonresidents.
According to the BSP, the expansion reflects the continued strength and diversity of the country’s nonbank financial sector, which plays a crucial role in supporting the broader financial system through lending, insurance, and investment activities.
Analytical tool
The OFCs survey serves as an analytical tool providing comprehensive data for monitoring monetary and financial stability. It covers entities such as trust corporations, insurance firms, pension funds, holding companies, investment funds, and other financial intermediaries engaged in nonbank financial services.
The identification of OFCs follows the International Monetary Fund’s Monetary and Financial Statistics Manual and Compilation Guide, ensuring comparability with international standards.
As of 2025, the BSP’s survey includes data from both private and government financial institutions, unit investment trust funds, investment companies, and offshore banking units, reflecting a broader view of the financial sector’s interconnectedness with the real economy.