Based on preliminary results of the Other Financial Corporations Survey (OFCS), the domestic claims of the OFCs rose by 12.2 percent to ?8,221.1 billion in first quarter of 2023 from ?7,326.5 billion in first quarter of 2022

The growth in the OFCs’ domestic claims in the first quarter was due to higher claims on the depository corporations (DC), the central government and the other sectors.

In particular, the OFCs’ claims on DCs expanded significantly, owing mainly to the growth in the sector’s deposits in banks and holdings of bank-issued equity shares.

Similarly, claims on the central government rose, following OFCs’ increased holdings of government securities. Likewise, the OFCs’ claims on other sectors, particularly the private sector, grew slightly, primarily on account of increased loans extended to the households and the nonfinancial corporations.

By component, claims on other sectors, specifically the private sector, comprised the bulk of the OFCs’ domestic claims during the quarter, followed by claims on DCs and the central government.

Meanwhile, the net foreign assets of the OFCs grew by 20.8 percent to ?304.3 billion in first quarter of 2023 from ?252 billion in first quarter of 2022. The claims on non-residents expanded mainly due to the OFCs’ increased investments in debt securities issued by non-residents.

The sector’s liabilities to nonresidents grew slightly due to higher reinsurance payables to non-residents.

The expansion in the OFCs’ gross assets was funded mainly by its issuances of shares and other equity to other sectors. BSP