At the end of December, the Credit Establishments reached results of $16.2 trillion (banks reported accumulated profits of $14.2 trillionfinancial corporations $1.9 trillion, financing companies $4.857 million and financial cooperatives $83.900 million), according to the Financial Superintendence.
In the case of the Special Official Institutions (IOEs), which reported profits of $3.9b, the reduction in administrative costs and the decrease in non-interest financial expenses stand out.
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At the end of 2021, bank profits had totaled $13.9 trillion, so the increase between one year and another was 2.1%.
For his part, The pension and severance fund management companies recorded profits of $526.100 millionmainly due to the income received from the fund administration commission and from the valuation of investments in equity instruments of the AFPs’ own position.
The Superfinanciera said that it is important to remember that of the 16% of the contribution to mandatory pensions, 11.5% goes to the individual savings account, 1.5%
to the Minimum Pension Guarantee Fund (which operates as the solidarity mechanism in the Individual Savings Regime), and the remaining 3% is distributed between the disability and survival insurance premium (known as pension insurance), and the administration commission.
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As of December, the industry’s average administration fee was 0.71%, while the average pension insurance premium was 2.29%.
