Biess plans to deliver $4,874 million in loans and $2,000 million to the public sector in 2023

The Bank of the Ecuadorian Social Security Institute (IESS) announced that in 2023 it plans to invest some $4,874 million in mortgage, unsecured and pledge loans for its affiliates, as well as deliver at least $2,000 million in investments to the public sector, while that $1,500 million would come to the private sector.

The financial entity also informed that in unsecured loans it projects the placement of more than $4,000 million, in three million operations. The figure is higher than that of last year, since in 2022 $3.940 million were granted in this type of credit, also known as consumer.

In mortgages, it expects to deliver $764 million, through approximately 12,000 operations. The entity recalled that in 2022 the disbursements for this branch of credits were $610 million.

As for pledge loans, the affiliates and retirees bank estimates that it will grant $110 million to more than 170,000 Ecuadorians. In this case, the planned investment is also higher than last year, which reached $97 million.

Carlos Julio Arosemena, manager of the entity, reported that in order to facilitate access to bank services for IESS affiliates in 2023, projects will be promoted focused on strengthening the institution and providing greater agility and efficiency in the delivery of financial products. To do this, he plans to modernize credit granting applications and the integrated computer system for bank management.

El Biess reported that it plans to make strategic and responsible investments in the public sector with approximately $2,000 million and in the private sector with $1,500 million.

IESS investments must be very well managed, especially at times when it is known that health and pension funds have been consuming. A few days ago, Augusto de la Torre, who leads the Interdisciplinary Commission for the Development of a Reform to the Disability, Old Age and Death Insurance, said that at the moment the health fund has cash problems and that the pension fund still has a few years more, before his actuarial insolvency problem turns into cash problems. More than half of the pension fund’s money is currently in mortgage loans and government bonds, De la Torre has said.

These days the need to carry out a reform to the IESS is in debate so that the pension system becomes viable. The safe investments of the Biess generate returns that help these funds to maintain themselves. (YO)