THE thrust of the Government Service Insurance Service (GSIS) for growth is on track with figures indicating the state pension fund is performing with flying colors.

Net income of the agency reached P37 billion for the first quarter of 2024, a 21% increase from its net income of P30.75 billion in 1Q 2023.

The growth in profitability for the 1st quarter 2024 was driven by strong revenues reaching Php85 billion. This represents a 17% increase year on year.

GSIS’ commitment, according to its president and general manager Wick Veloso is to support the nation’s growth story saw increases in GSIS investments in key sectors such as real estate, infrastructure, food, energy and mining. Further, the GSIS is boosting revenue streams as it focuses on building efficiencies in its various businesses.

On global investments, the income from Financial Assets went up by P28 billion or 45% versus March year-on-year.

The highly performing government institution seeks to be a catalyst supporting investments in various sectors to bring down the cost of power and allow vertical integration for mining companies to process raw materials into intermediate and finished products.”

As of end-March 2024, the total assets of the GSIS increased to P1.74 trillion, posting a 10% increase or P156 billion higher compared to March 2023 levels.

Bolstering its commitment to support its 2 million members, the GSIS enhanced its lending program to allow its members to better manage their finances and, for some, to ease their debt burden. As of March 2024, the Multi-Purpose Loan Flex (MPL FLEX) program disbursed PP136 billion since September 2023, availed by 506,000 members.

A more welcome development is that Veloso fund life of the GSIS pension fund is now at 2058 because of sustained investment returns.

Further, net gains on sale and mark-to-market valuation of local equities and exchange-traded funds (ETFs) resulted to revenues amounting to Php10 billion. This is 234% higher compared to March 2023.

GSIS interest income from fixed income securities reached P9 billion for Q1 2024. This includes holdings in USD and PHP sovereign bonds, short-dated Treasury Bills, and corporate bonds.

Maintenance and other operating expenses were 41% below budget and the administrative cost ratio is 2.98%, significantly below the 12% limit allowed for by the GSIS Charter.

Indeed, the GSIS is on track in the execution of its Strategy, which supports the overall growth of the economy, highlighting its investments and programs towards Pabahay (housing), Power (energy), Pagkain (food), and Pagamot (healthcare).

Meanwhile, there’s a positive note on food security in the country.

President Ferdinand R. Marcos Jr. recently assured the public of sufficient food supply particularly rice despite the current El Niño phenomenon.

This was made possible by the new farming techniques and improved irrigation system adopted by the government, President Marcos said.

The government is fast tracking the installation of solar pumps in upland non-irrigated areas to boost production, according to the Chief Executive, adding that the state s also building dams and impounding pond, according to the President.

The National Irrigation Administration’s (NIA) goal, he said, is to widen irrigation coverage to enable farmers to plant crops, particularly palay, even during drought season.

NIA reported that among its assistance to El Niño-affected areas in the province are the deployment of three new long-arm backhoes and one wheel-type backhoe to all affected areas needing immediate canal clearing and desilting works.

Some 1,200 liters of diesel fuel were also distributed to farmers affected by the drought to subsidize the fuel requirement for diesel-powered water pumps in addition to 68 solar, diesel and water-powered pumps installed to irrigate 274 hectares of farmlands.

The agency also cited the construction of 18.06 kilometers of concrete irrigation canal along with 64 units of canal structures improving the delivery of irrigation water.

Some 7.6 kilometers of canal was also desilted by the agency to ensure unhampered water delivery and high efficiency of irrigation services to local farmers.

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