MSIC 2023 Annual Report

MS IC COOPERATIVE COMMUNI TY

0.55

Total assets were $32.0 billion at September 30, 2023, up 1.97% from the prior year. During Fiscal Year 2023 the MSIC Cooperative community continued to grow. The most notable change during the year was the decline in the rate of growth in excess shares and deposits. Those shares and deposits decreased over the year at a rate of 3.37% This change is primarily caused by the economic realities of the post-pandemic world, including a rapid spike in interest rates, and the ongoing concerns about potential U.S. and global recessions. Also, nearly all financial institutions are no longer awash in liquidity and many are reluctant to compete on interest rates at cutting edge levels. At many institutions, plans for deposit growth have been put on hold until rates stabilize. Looking ahead into next year, earnings will be the greatest challenge as loan volume remains low, portfolios still carry a low yield from the rate environment over the past five years, and the cost of funds has risen dramatically.

0.48

0.45

MSIC

All MA

Nationwide

MSIC COMPARATIVE ROAA For Fiscal 2023

At many institutions, plans for deposit growth have been put on hold until rates stabilize.

0.72

0.60

0.49

MSIC

All MA

Nationwide

MSIC COMPARATIVE DELINQUENCY RATIOS For Fiscal 2023

8 INTERNATIONAL COLLABORATION

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