The Government Service Insurance System (GSIS) posted a net income of P43.6 billion in the first quarter, up 170 percent from a year earlier, while releasing P49.5 billion in claims and benefits to members and pensioners. The state pension fund also raised the average monthly old-age pension to P18,874.58 — more than P1,000 higher than last year — and grew total assets to nearly P2 trillion, reinforcing its long-term financial position.
GSIS said total assets reached P2 trillion as of 31 March, increasing from P1.96 trillion at the end of 2025. Total income climbed 43.8 percent to P95.8 billion from P66.6 billion in the same period last year.
“The fund grew this quarter and paid out more than it did a year ago. That is the baseline we hold ourselves to every reporting period,” GSIS president and general manager Wick Veloso said.
Insurance operations remained the pension fund’s primary source of revenue, contributing P56.6 billion in income during the quarter. The increase was driven by higher social insurance contributions and stronger remittances from government agencies.
A sharp rise in investment earnings also boosted the fund’s performance. Income from financial assets surged to P27.6 billion from P1.2 billion a year earlier, supported by gains in equity valuations and favorable foreign exchange movements.
The pension fund paid out P49.5 billion in claims and benefits during the quarter, 4.7 percent higher than a year ago, largely due to increased pension releases. The average monthly old-age pension rose to P18,874.58 from P17,809.10 in 2025.
Total expenses reached P52.1 billion, up 3.3 percent year-on-year, with claims and benefits accounting for about 95 percent of expenditures.
Administrative expenses amounted to P2.44 billion, equivalent to 4.7 percent of total expenses and well below the 12-percent limit prescribed under the GSIS Charter.
“Administrative costs at 4.7 percent means more than 95 centavos of every peso in expenses went directly to members. That is where it should go,” Veloso said.
GSIS also reported continued expansion of its Ginhawa loan programs, which generated P10.7 billion in income during the quarter.
The Ginhawa Solar Energy Loan also gained strong traction, generating P890 million in applications within its first week after the government launched measures to accelerate investments in the energy sector under Executive Order 110.
With earnings in the first three months already reaching one-third of its P130.91-billion target for the year, GSIS expressed confidence that its asset base will surpass P2.1 trillion by end-2026.
GSIS also cited the results of its latest actuarial assessment, which showed that the fund remains financially sound and capable of meeting its obligations to members and pensioners through 2058.
