GSIS Reports 21% Income Growth, Assets Reach PHP 1.83T

The Government Service Insurance System (GSIS) recorded a 21% increase in net income from operations in 2024, reaching PHP 135.7 billion compared to PHP 112.1 billion in 2023.

Total assets grew by 9.23% to PHP 1.83 trillion, reflecting strong financial performance driven by investment gains and insurance operations.

Total income rose by 10.29% year-on-year to PHP 326.86 billion. Investment returns played a key role, with PHP 13.27 billion gained from foreign exchange, PHP 11.24 billion from global private equity investments through external fund managers, and PHP 3.09 billion from local equity investments.

“We maintain a prudent investment strategy, allocating 70% of our portfolio to government securities and other fixed-income instruments,” GSIS President and General Manager Wick Veloso said.

“The remaining 30% is strategically placed in higher-yielding investments, including equities, real estate, and other vehicles, all managed within our strict risk parameters. This balanced approach ensures both stability and growth, supporting our fund life, which extends until 2058,” he added.

The pension fund’s financial assets rose by PHP 101.6 billion, while cash and cash equivalents increased by PHP 30.54 billion. Total loans to members also grew to PHP 370.65 billion.

GSIS demonstrated strong operational efficiency, achieving a 98.6% loan collection efficiency as of the third quarter of 2024.

The state-run insurer also exceeded expectations in its insurance business, with gross premiums written reaching PHP 10.6 billion, surpassing its PHP 8.5 billion target. GSIS remains the largest state insurer, with a net worth of PHP 62 billion.

Operational improvements allowed GSIS to disburse PHP 179.92 billion in claims and benefit payments while reducing administrative expenses from PHP 10.14 billion to PHP 8.92 billion. This efficiency lowered the administrative cost ratio from 3.7% to 3%.

More than 1.5 million members received loans totaling PHP 315 billion under the MPL Flex and Lite programs.

“Beyond the numbers, these programs represent our commitment to provide support at critical moments,” Veloso emphasized. “Whether it is helping fund a child’s education, addressing urgent medical needs, or ensuring financial stability during challenging times, these loans make a real difference.”

GSIS also continued its housing initiatives through the Lease with Option to Buy program, extending PHP 2.84 billion in housing assistance. Currently, 3,360 families are on the path to full homeownership through this initiative.