winzir PH banks total assets up 11% in September
INQUIRER FILE PHOTO
MANILA, Philippines – Total assets of the Philippine banking sector increased by 11.3 percent as of end-September this year.
Data released by the Bangko Sentral ng Pilipinas (BSP) showed that the total assets of the banking sector reached P26.73 trillion, up from last year’s P24 trillion.
Article continues after this advertisementIt was also higher than the P25.9 trillion total assets recorded in August this year.
FEATURED STORIES BUSINESS BIZ BUZZ: Razon cries foul BUSINESS Missing funds prompt BSP probe of GCash BUSINESS JK Capital Finance locks in P300-million credit guaranteeREAD: 6 digital banks breach P80B in collective deposits
Rizal Commercial Banking Corporation analyst Michael Ricafort said the higher income of banks contributed to the growth in assets.
Article continues after this advertisement“The continued growth in banks’ net income may be attributed to the double-digit growth in banks’ loan business, up by +11% year-on-year for the biggest banks that boosted banks’ interest income,” Ricafort said.
Article continues after this advertisementLatest data from the BSP showed that the net income of banks amounted to P290.05 billion as of end-September this year, up from the P272.55 billion in the same period last year.
Article continues after this advertisementRicafort said increased banking transactions due to continued recovery in the local economy led to the continued growth in banks’ deposit transactions and other banking services, resulting in higher revenues such as fees and charges.
“Thus, continued growth in net income led to higher capitalization of banks that enabled banks to increase lending and other investment activities, thereby leading to continued growth in banks’ resources,” he said. (PNA)
Subscribe to our daily newsletter