The net foreign assets of other financial corporations in the second quarter of 2019 increased 2.2 percent to P83.7 billion from P81.9 billion in the previous quarter, according to the results of the latest Other Financial Corporations Survey conducted by Bangko Sentral ng Pilipinas and released over the weekend.
The BSP said in a statement the improvement in the sector’s NFA balance was due to the larger contraction of OFCs’ liabilities to non-residents compared with the contraction of claims on non-residents.
Domestic claims of the OFCs amounted to P6.117 trillion in the second quarter of 2019, up 2.8 percent from P5.953 trillion in the previous quarter, as claims on other sectors and depository corporations, and net claims on central government all increased during the period.
Claims on other sectors expanded to P3.075 trillion in Q2 2019 from P3.017 trillion in the previous quarter on account of the sector’s higher holding of shares and other equity issued by other non-financial corporations and outstanding loans extended to the household sector.