Welcome to the 4Q2022 consolidated results conference call. My name is Maria. I will be your operator during this conference call. At this moment, all participants are in a listen-only mode. At the end of the presentation, we will conduct a question-and-answer session. Please note that this conference is being recorded. We now ask you take the time to read the disclaimer included on slide 2. When applicable, in this webcast, we refer to trillions as millions of millions and to billions as thousands of millions. Thank you for your attention. Mr. Alejandro Figueroa, CEO of Banco de Bogotá, will be the host and speaker today. Mr. Figueroa, you may begin your conference.
Thank you, Maria Elida. Good morning, ladies and gentlemen, welcome to Banco de Bogotá's Q4 2022 earnings call. Thank you all for joining us today. Last quarter, Banco de Bogotá accepted the tender offer to sell 20.89% of his remaining 25% participation in BAC Credomatic International Corporation, the holding company of the Central American banking group, BAC Credomatic. As you may recall, in March 2022, Banco de Bogotá completed a spin-off of 75% of BHI in favor of the bank shareholders retaining a 25% stake in the holding company. In December 2022, Banco de Bogotá accepted a tender offer for common shares of BHI at virtually the same price per share used as basis for the March spin-off.
The price was acceptable to the bank, considering higher discount market rates and because it represented a 50% premium to the then trading price of the stock. The bank sold 20.89 of BHI, lowering its stake to 4.11%. This decision was driven by the same consideration that had led the bank to spin off BHI in the first place. This transaction increased Banco de Bogotá's solvency ratio and improved his net stable funding rate, or CFEN in Spanish, allowing for long growth with reduced pressure on cost of funds. The transaction was well-timed considering the adoption process of CFEN in Colombia. The bank's Q1 2022 results included an extraordinary net income of COP 1.32 trillion because of the spin-off of 75% of BHI.
The sale in Q4 2022 of an additional 20.89% of BHI resulted in extraordinary loss of COP 983 billion. Net, all transactions resulted in an time gain of COP 342 billion during 2022. I will make a summary of the bank's main results. Attributable net income in 2022 was COP 2.8 trillion, resulting in profitability ratios at 1.9% for return on assets and 15.9% for return on equity. Total mean increase annually 24 basis points to 4.5%, explained by a 28 basis point growth in lending mean, as loan portfolio did move up by 246 basis points against the cost of funding growth of 234 basis points.
Gross fee income totaled COP 1.7 trillion in 2022, 16.5% higher than in 2021, as banking fees and credit card fees grew 18.6% and 20.9% respectively. Fee income ratio stood at 24.8%, improving yearly by 178 basis points. Cost to assets was 2.5% in the year, and cost to income was 48.5% both within past years. Regarding our balance sheet performance, gross loan portfolio amounted to COP 96.1 trillion, growing at a steady rate of 17.3% year-on-year. Mortgages experienced the highest expansion at 31.9% year-on-year.
Deposit remained our principal source of funding, representing 74% of the mix, reaching COP 88 trillion. Deposit to loan ratio was 0.97 times, close to our target of 1 time. The quality of the loan portfolio remaining stable with a 3.5 ratio for 90 days past due loans, decreasing 36 basis points versus Q4 2021. Annual net cost of risk for the year is at 1.5% below our 1.8% guidance for 2022, having improved 54 basis points yearly in the consolidated portfolio. Capital adequacy ratio remained stable with Q1 capital and total services at 10.1% and 15.1% respectively, remaining above regulatory minimums. I will turn the presentation over to Germán Salazar, Executive Vice President of the bank.
Thank you, Alejandro. Good morning, everyone. On slide 4, we present our digital strategy results for the quarter. Digital business has contributed to maintaining the bank's growth rate, responding to our efforts to improve and connect digital channels with customer needs. As a result, we have achieved COP 5.4 million digital sales and COP 2.2 million digital products sold in 2022, which imply a 45% increase versus 2021. These results allow the bank to reach COP 6.2 trillion in digital loans and products with an 84% year-on-year growth. Let me begin with some detail on the digital sales results in Q4, 2022. Digital sales saw a steady growth, reaching more than 595,000 products sold and representing 77% of total product sales.
Our balance sheet is increased by COP 1.2 trillion in digital products, a 26% growth over the previous quarter. We would like to highlight the most relevant products that allow us to accomplish these results. Credit cards set a new all-time monthly record reached in December with over 55,000 products sold, a 12.7% increase from the previous quarter and 47% year-on-year growth. This success was due to the effective implementation of QR codes in a live point of sale business, allowing customers to easily request a product using their mobile phones and making the first purchase. Total consumer loans disbursements in Q4 reached COP 528 billion, a 73% growth versus Q4, 2021.
For full year, 2022, total digital consumer loans amounted to COP 2.2 trillion, a 114% growth year-on-year. This was possible due to a growth of 85% in consumer digital credit sales and an average ticket that increased by 16% year-on-year due to a better user experience and the implementation of the smart pricing system in Q3. Digital time deposit sales increased 13% quarterly with a total of over 15,000 products sold and over 240,000 year-on-year growth. This allow us to achieve a milestone of COP 532 billion in digital time deposit funding in 2022, with a 303,000 year-on-year growth.
This was due to factors such as competitive rates, improvements in the conversion rate, and enabling digital time deposit sales through new channels such as the new Links tool and the implementation of a communication strategy to boost digital acquisition through email and text messages that allow time deposits renewal. Over 195,000 digital savings accounts were opened in Q4 with a 21% annual growth. Worth highlighting for this quarter, the web conversion rate, which increased from 70 to 77%. These results were achieved due to payroll account sales that represented 50% of digital account sales in Q4 with over 94,000 products sold, as well as the reinforcement of our sales force of the usage of digital account short links.
Digital insurance had 21% quarterly growth, proving success in our cross-selling strategies with credit cards, where discretionary insurance sales occur in 6 out of 10 new credit cards and 4 out of 10 digital consumer loans. Tailor-made life insurance saw a 15 times growth in sales, increasing to over 28,000 policies sold in 2022. This is a brand-new value offer for our customers as they now have the choice to buy flexible life insurance products according to their needs. These products performance had a year-on-year growth of 75%. We also continue to expand our digital products portfolio, which we continue to improve based on the following initiatives. First, the digital vehicle loan strategy, which was already expanded in Q4 by implementing the approval flow and the strengthening of coverage in Colombia with the auto show and the specialized vehicle portals, including CarroYa.
We have also improved our conversion rates through lead recovery with our sales force for new and used vehicles, allowing us to strengthen our ecosystem strategy. Second, regarding digital microcredits, our efforts persist in widening financial inclusion to a broader audience through a fully digital experience. During this quarter, we perform improvements enabling an alternate flow for customers who were not able to go through digital authentication, allowing a 38% share in microcredit sales with a total of 2,107 sales and a 22% quarterly growth. Third, we continue working on our assisted digital channels, where each personal advisor aids consumer and digitalization through tablets. For 2022, 47% of digital sales were made by digital assisted personnel in retail branches.
During 2022, 54% of total sales in branches were made in tablets, generating a significant contribution in sales during 2022. The following results highlight the performance of our digital channels, as well as our digital customer metrics. During Q4, we had over 2.3 million active customers on our digital channels, a 19% increase from the previous year. This growth was due to our focus on enhancing customer experience through web and mobile upgraded functionalities in payment options for products such as cardless cash withdrawals and for utility bills payments. These led to a 46% year-over-year increase in digital transactions, totaling 60.5 million, evidencing a shift towards more digital and mobile usage. During the quarter, our Cel a Cel functionality provide further solutions for Grupo Aval and Dale, allowing more efficiency in transfers between these accounts.
In the first month after its launch in Q4, Cel a Cel reported over 19,000 transactions between Aval banks and dale, thus reinforcing our digital ecosystem position. In 2022, Transfiya processed a total of 4.47 million outbound transactions and 524,000 inbound transactions, a yearly growth of 11 times and 1.4 times versus 2021 respectively. For Q4, Transfiya processed 1.95 million outbound transactions and 232,000 inbound transactions, a 35% and 48% quarterly growth, respectively. We also kept improving functionalities for users of our digital assistance center. Worth highlighting, among others, the possibility for clients to see the name and contact of their advisor.
We also implemented functionalities such as the email one-time password, OTP, to provide access to our digital channels to clients who are abroad and to Transfiya, allowing for fast, secure and 100,000 digital transactions through self-assistance. We had 10,000 customers inquiring on how to make transfers, increasing the average number of transactions per client from 2.37 to 5.27 during Q4. For our group strategy, we have strengthened our position in real-time payment solutions, promoting Grupo Aval's digital wallets in Dale as a complement to the group's payment ecosystem. With Banco de Bogotá's support, Dale has grown over 425,000 versus 2021, with a clientele of over 605,000 accounts in 2022. Turning to slide 5, we would like to present our ESG progress for the year.
2022 was a year of various challenges regarding sustainability, mainly the expansion of our contribution towards a more sociable, responsible economy with lower carbon emissions. To meet this challenge, we took several actions. In terms of policy, we strengthened our ESG strategy, redefining our sustainability commitments by prioritizing efforts to better align with government goals and the Paris Climate Agreement. We also strengthened our efforts on climate impact in the following aspects: Development of green products and services, strengthening of climate change risk management with the environment and social risk management system, and the carbon neutral management. Also, our adherence to the net-zero policy, accompanying customers' efforts in transitioning towards a green economy. In terms of commitment, our main objective is to further generate prosperity through a sustainable and inclusive manner.
Our commitment is aligned with the best ESG practices as well as reporting and transparency, with excellence. We have adhered to three new initiatives. First, a Net-Zero Banking Alliance in which banks commit to carbon neutral portfolios by 2015. Second, Task Force on Climate-related Financial Disclosures or TCFD, which commits us to use recommendations for the identification of climate change impact measurements. Third, Responsible Banking Principles, whereby we incorporate sustainable criteria throughout all the bank's areas, while measuring contribution to sustainability. These principles further our efforts to implement communication mechanisms with clients and stakeholders to develop sustainable practices and to promote a responsible banking culture. For the third consecutive year, we consolidated our position as one of the top 5% of the 710 banks internationally evaluated and the world's most sustainable banks.
In terms of achievement, we would like to highlight the following. Over 1.8% of our loan portfolio is represented by green products. We have products such as a credit line for sustainable development, loans for sustainable construction, sustainable financial leasing, project finance, sustainable mortgages and housing leases, sustainable use housing, loans for hybrid and electric vehicles, Amazon debit cards. Our goal is to reach COP 4 trillion in green products by 2025. Other achievements are we managed to successfully measure our clients' carbon footprint, forfeited measure, and disclose the bank's progress with regards to clients' emissions. Our environmental and social risk management system analysis of all above COP 21 billion to further evaluate the impact on the environment and their social footprint. We are the first bank in Colombia to obtain carbon neutral certification by Icontec.
We installed solar panels on 18 branches and 2 administrative buildings. We planted over 80,000 trees in an alliance with Fundación Natura, saving the Amazon. We benefited over 8,000 people with our sustainable mobility program, which diminished carbon dioxide emissions by 37 tons. Our electric energy consumption is 100% renewable, backed by renewable energy certificates. We benefit 357 customers through a financial education program, furthering applicable knowledge for responsible financial management. Regarding social efforts, we disbursed COP 216 billion to support small businesses, reaching 756 municipalities in Colombia, a 26 year-over-year growth. We place over 300,000 UNICEF cards, which support education throughout Colombia. We have 2 silver stamp for Equipares, where we obtain a friendly visa, a certification due to the efforts in reducing gender salary gaps.
Financially, we obtain diversity, equality, and inclusion market leader designation for Euromoney. Moving on to slide 6, let me summarize the local macroeconomic overview. In 2022, the Colombian economy completed its second consecutive year with very good dynamics. Growth was 7.5%, one of the highest in Latin America and in the OECD. Most sectors advanced, there were some exceptions, such as agriculture and mining. The production level began to stabilize in the second part of the year, evidencing the deceleration of the post-pandemic recovery. This behavior has led to a downward adjustment in economic growth projections in 2023. Our economic research team forecast a GDP expansion of 1.5% for this year. Inflation constantly exceeded expectations in 2022, closing the year at 13.1% annually, the highest since 1999.
Consumer prices were impacted by the significant rebound in food, with inflation closing 2022 above 27%. Price pressures were more generalized than exclusively from the food prices. More than 90% of the products and sales of CPI basket had inflation above 4% in 2022, a level that Banco de la República's target range. Core inflation also accelerated significantly, closing the year at 10.4%. Most consensus projections point to a moderation of inflation in 2023. The magnitude of the correction will depend closely on food prices. Our economic research team expects inflation to close the year at 8.5%. The economy's dynamics and the acceleration of inflation led to new increases in the reference interest rate by the central bank during 2022.
The monetary policy rate closed the year at 12%, which represented the most aggressive rate hike cycle so far this century, with a total increase of 2022 of 900 basis points, positioning Colombia as the second economy in the world among the main ones with the most increases during the year, only surpassed by Hungary. The real interest rate is already reaching levels not seen since the international financial crisis. Our economic research team does not consider the hiking cycle to have ended in December. It is expected that in the Q1, this ceiling will be reached with a terminal rate of 13.25%, and the second semester, the downward cycle will begin with an expectation of an end-of-year rate close to 10%. Exchange rate markets experienced high volatility throughout 2022.
The first semester had upwards pressures, but not as strong as in the second semester. After this, with a scenario of global monetary policy tightening, the local political uncertainty positioned itself as the main driver in markets. The upward pressure led to a new all-time high for the USD of over COP 5,500 per USD in November. This contrast with the minimum for the year in April, close to COP 7,700 per USD. Volatility for the year was over COP 1,400 per USD, the highest ever. In the final part of the year, exchange rate pressures moderated, and the currency closed at COP 4,810.
The rebound in aggregating demand that boosted imports, the credit outflow of $ from investment income, profits and dividends from foreign companies established in Colombia, and the accounting effect that reduces the size of GDP in $ terms due to the devaluation. There was a limited correction of the current account deficit. The deficit continued to widen and close 2022 above -6% of GDP. A broad correction of the current account is expected for 2023, reacting to the slowdown in domestic demand. Our economic research team expects the forecast as a deficit of 4.2% of GDP for 2023. The change of government brought a new tax reform which seeks to collect around COP 20 trillion, an amount that will gradually increase in the following years.
The reform focus on high-income individuals and the energy and mining resorts. The Ministry of Finance announced that the resources will be used entirely for social spending. In the final part of the year, the government presented the final plan with positive announcements in the fiscal front. The deficit was adjusted downward to minus 5.5% of GDP for 2022. While for 2023, it was revised upwards to 3.7% of GDP. In both cases, complying with the fiscal rule. Finally, in 2022, there were no changes for the sovereign rating in the part of 2022. Fitch Ratings reaffirmed the notes at double B plus with a stable outlook. Moving on to slide seven, let me summarize Panama's macroeconomic overview.
2027 was the second year of strong recovery in the Panamanian economy after the recession caused by the pandemic in 2020 struck GDP by -17.9%. With advances of 15.3% in 2021 and 9% and 7% in 2022. According to the most recent forecast from the IMF, activity would have exceeded the levels in place before the COVID-19 struck. By sectors, the recovery was almost generalized, with growth dynamics in most components of the economy, though with the composition in their contribution. In particular, the recovery in tourism allow the hotel and restaurant industry to register a growth of more than 20% in the Q3.
Meanwhile, buoyant international trade gave way to an increase in traffic through the Panama Canal, with a growth of almost 7% year to date up to October, doubling what was observed the prior year 3.3%. The trans-transport, storage, and communication sector grew 13% annually in the Q3. in the Q3, the commerce sector grew 13%. Construction and other service grew at higher rates than the general economy, 18% and 15% annually in the Q3, respectively. By 2023, as in the rest of the world, the Panama growth moderation is expected to continue as the benefit of the reopening of the economy after the pandemic are left behind. The IMF project annual growth of 4% in GDP in 2023.
Turning to prices, inflation followed a global trend starting the year 2022, with a rebound to reach maximum of 5.2% annually around the middle of the year. Since then, the trend has been downwards, ending the year at 2.1%, below the 2021 level of 2.6%. For 2023, the IMF projects inflation at 3.1%, which will depend on the magnitude of the correction in food and energy prices. In terms of credit rating, Panama remain above the investment grade threshold, with rating of BBB by Standard & Poor's, Baa2 by Moody's, and which is a BBB investment, and BBB- for Fitch. The latter, which is a lower rating than its peers, raised its outlook from negative to stable at the beginning of 2022.
Meanwhile, the most recent pronouncement came from Moody's, which maintained its negative outlook. The rating agency highlight Panama's strong growth and the stabilization of its public debt at around 60% of GDP. Now, I will hand over the presentation to our Head of corporate development, financial planning, and investor relationship, Mr. Javier Dorich, who will provide details on our financial results for the year.
Thank you, Germán. Good morning, everyone. Beginning on slide 8, we present our consolidated asset structure. Consolidated assets total COP 137.9 trillion at the end of Q4 2022, presenting a yearly 17.9% increase or 2.8% quarterly. In terms of composition, the net loan portfolio continues to be our main asset, representing 69.1% of consolidated assets, followed by other assets with 12.5%. Investment portfolios in fixed income and equity represent 10.7% and 7.7% of total assets, respectively, increasing by 4.5% and 12.1% yearly. Equity investments mainly include our participation in Corficolombiana and Porvenir. The gross loan portfolio closed at COP 96.1 trillion in Q4 2022, increasing 4.2% in the quarter and 17.3% yearly.
When excluding FX fluctuations, the gross loan portfolio grew 13.2% annually and 3.3% quarterly. Versus 2021, loan mix continues to reflect our strategy to rebalance composition towards higher retail segment participation, as evidenced by the evolution of the consumer and mortgage portfolios. Mortgage loans represent 12%, growing 31.9% yearly or 23.1% when isolating FX depreciation, driven by a yearly increase of 32% in the Colombian portfolio, and still reflecting positive market dynamics. In Panama, Multibank's mortgage portfolio increased 8.9% in dollar terms during the year and 31.6% in COP terms. Consumer loans increased 17.3% in the year and 13.1% excluding FX. This is the result of our strategy to rebalance composition, reflecting a greater use of credit cards, personal and auto loans.
In Panama, growth in this segment was 1.8% in dollar terms in 2022. The commercial loan book represents 65.1% of total loans, growing 15.1% yearly and 11.7% when excluding FX. Colombia increased 13.2% annually, and Panama increased 26.3% or 4.6% excluding FX. Loan growth outperformed previous guidance for 2022 of 15%. For 2023, a moderation on loan growth is expected to be between 10 to 12% due to lower GDP growth, higher average interest rates, and a less dynamic economic outlook, both locally and globally. Moving on to slide 9, we present loan quality ratios.
On the top left, 30-day PDL ratio decreased 38 basis points yearly and remained stable on quarterly terms at 4.6%. The Colombian portfolio improved 47 basis points yearly to a level of 4.8%, while the Panamanian level deteriorated 12 basis points annually to a level of 3.9%. On the bottom left, one can observe commercial and consumer 30-day PDL ratios improving by 31 and 45 basis points yearly, mainly due to the Colombian portfolio's performance throughout all categories on a yearly basis. On the top right, 90-day PDL ratios remain stable with a 36-basis point improvement yearly and a slight 9 basis points deterioration quarterly.
The Colombian portfolio improved 58 basis points yearly and 12 basis points quarterly, while the Panamanian portfolio deteriorated 72 basis points yearly and 104 basis points quarterly due to deterioration in the commercial portfolio. On the bottom right, you will observe that for 90-day PDLs, the consumer portfolio improved 101 basis points in annual terms, while other portfolios, excluding microcredits, remained stable. Both Panamanian and Colombian consumer portfolios experienced improvements close to 1 percentage point year-over-year. Microcredits remain a small component of our loan portfolio, comprising 0.3% of gross loans. Their 30-day and 90-day PDL ratios continued improving throughout the year. On slide 10, we present coverage ratios. On the top left, our coverage ratio for 30-day PDLs is at 1.18 times, slightly lower than the previous quarter.
Colombian portfolios reflect a higher coverage of 1.33 times, while Panamanian 30-day coverage ratios remain stable at 0.43 times. Panamanian coverage is relatively low due to the high collateral value on credit exposures. On the top right, we observe the consolidated coverage ratio for 90-day PDLs remaining stable at 1.57 times. On the bottom, one can observe a decline in allowances over gross loans to a level of 5.5%. The Colombian figure declined yearly by 71 basis points year-on-year to 6.4%, and the Panamanian figure declined 11 basis points for the same period. This is due to a lower need for coverage as delinquency diminished throughout the year. On slide 11, we present our cost of risk and charge-offs ratios.
On the top left, cost of risk increased by 15 basis points quarterly and decreased 24 basis points yearly to 1.6%. Cost of risk diminished by 24 basis points in Colombia and 25 basis points in Panama to 1.6% and 1.1% respectively. It is worth noting that our cost of risk is lower than our Q4 2021's guidance for 2022. For the consolidated portfolio, charge-offs over 90-day PDLs stand at 49%, a reduction of 16.5 percentage points year-on-year and 11 points quarter-on-quarter. Colombia's charge-offs over 90-day PDLs stand at 52%, decreasing by 15.5% year-on-year and increasing 1.4% quarterly. For Panama, this ratio stands at 25%, having decreased by 14.4% year-on-year.
Charge-offs over average loans decreased by 91 basis points year-over-year and 37 basis points quarter-over-quarter to 1.7%. Colombia's figures remain stable at 1.9%, and Panama's figure decreased 24 basis points year-over-year. These figures diminished overall due to a lower delinquency of loans in general. Continuing with consolidated funding, on slide 12, we present our liability structure. Total funding reached COP 118.4 trillion, increasing 16.4% and 3.4% year-over-year and quarter-over-quarter respectively. Excluding the FX effect, growth was 12.4% for 2022 and 2.5% quarter-over-quarter.
Deposits continue to be our main source of funds, representing 74.4% of total funding, followed by banks and others with 15.2%, long-term bonds with 9.5%, and interbank borrowings with 0.9%. Deposits totaled COP 88 trillion, growing 14.5% annually and quarterly by 5.3%. Excluding FX, deposits grew 11% yearly and 4.5% quarterly. In terms of deposit composition, time deposits continued to lead with 44.3% of the mix as interest rates have become more attractive. Saving accounts represented 36.7%, while checking accounts decreased their participation to 18.5%. Deposits to net loans ratio was 0.97 times in Q four 2022, close to our target of being fully matched. Turning to slide 13, our equity and solvency levels are presented.
Total equity for Q4 2022 was COP 15.8 trillion, decreasing 3.3% quarterly, mainly explained by the accounting of a COP 983 billion loss due to BHI standard offer. Our tangible common equity decreased to COP 14.4 trillion, representing a 4% quarterly reduction, as explained by the previously mentioned tender offer. Tangible capital ratio in Q4 was 10.5%. Total equity represented 11.5% of total assets. In Q4, total solvency ratio was 13.1% with a tier one ratio of 10.1% remaining at the same levels as the previous quarter. Our tier one ratio remains 3.6 percentage points above the regulatory minimum. Total solvency remains 2.8% above the regulatory minimum.
Continuing with our PNL metrics on slide 14, we present NIM performance. Total net interest income was COP 1.25 trillion in Q4 and COP 4.66 trillion for 2022. Q4 2022 results had a 23.7% year-on-year increase or a 5.1% quarter-on-quarter increase. Yield on loans increased 116 basis points in the quarter and 418 basis points year-on-year to 11.5% for Q4 2022. Commercial loans experienced the highest increase, 535 basis points year-on-year and 134 basis points quarter-on-quarter as most of the commercial lending portfolio has variable rates. Yield on investments increased 341 basis points year-on-year and 138 basis points quarterly to a 6.4% level.
For 2022, investment yield was 4.5%. These increments are mainly driven by higher interest on fixed income investments. Regarding funding costs, they increased as well, driven by the macroeconomic hawkish environment, reaching 6.6% for Q4 2022. This represents a 409-basis point year-on-year increase and a 144-basis point quarter-on-quarter increase. For 2022, funding cost was 4.6%, 234 basis points higher than in 2021. It is worth highlighting the nature of the bank's balance sheet, as NIM has been stable in past periods due to correlated movements in loan yields and cost of funds. Net interest margin stood at 4.5% for Q4 and for the year 2022 and was favored by the positive trend in lending NIM throughout 2022.
Moving to slide 15, we present the fee structure and other income. Total fees stood at COP 1.7 trillion for 2022, a 16.5% increase versus 2021. For Q four, total fees amounted to COP 461 billion, a 16.9% year-on-year increase and a 5.7% quarterly increase. The highest increase comes from banking fees, which in 2022 stood at COP 1.4 trillion, a 19.4% increase versus 2021. Q four banking fees grew 19% yearly and 5.7% quarterly, driven by a positive performance in credit card fees along 2022 with a 22.7% annual growth. Fee income ratio for Q four 2022 was 32% and 24.8% for the full year.
This represents a 178 basis points annual increase. Other operating income increased COP 176 billion in 2022 to COP 1.1 trillion from the following: A COP 1.2 trillion gain on derivative instruments for trading, which was offset by a net loss on foreign exchange adjustments caused by the devaluation of the Colombian peso. Valuation of the trading portfolio was impacted by market volatilities and interest rate increases, which led to a net loss of COP 38 billion. Net other income increased by COP 477 billion, mainly resulting from the extraordinary income from BHI's spin-off and tender offer. The spin-off represented an extraordinary income of COP 1.3 trillion, while the tender offer represented a COP 983 billion loss.
Equity method in 2022 increased COP 132 billion from the positive performance from Corficolombiana and Porvenir. On slide 16, we present our efficiency ratios. Operational expense totaled COP 933 billion for Q4, increasing 12.6% quarterly. For 2022, operational expense was COP 3.3 trillion, increasing 11.8% from general administrative costs driven by inflation. Total income increased 9.9%. Cost to assets ratio has slightly increased 24 basis points over the quarter and stands at 2.7%. For the year 2022, cost to assets ratio was 2.58%, below the historical average. For 2022, cost to income ratio was 48.5% when excluding extraordinary income and remains within past figures.
We expect cost to income ratio to be around 48% in 2023, in line with our historical average. Finally, on slide 17, we present our profitability ratios. Attributable net income for 2022 was COP 2.8 trillion. Q4 net income was negative due to the sale of 20.89% of BHI in December. As we disclosed in December 2022's extraordinary shareholders meeting, BHI tender offer negatively impacted net income in COP 983 billion. Net income from continued operations was COP 391 billion for the quarter and COP 1.7 trillion for the year. For 2022, ROAA stood at 1.9% and ROAE at 15.9%. When excluding BHI's spin-off in March and the tender offer in December, ROAA stands at 1.6% and ROAE at 13.9%.
Q4's figures, excluding BHI standard offer, stand at 1.2% ROAA and 10.5% ROAE. Lastly, I wanna stress that continued operations, excluding BHI's figure, shows steady, consistent figures with a net attributable income annual growth of 23.7%. Before moving on to the Q&A session, I'd like to summarize our general guidance for 2023. Loan growth is expected to be between 10 to 12%. Net interest margin target is expected between 4.5 to 4.6%. Net cost of risk is expected to be between 1.5 to 1.6%. Fee income ratio should come in at 24%. Cost to income ratio, around 48%. Regarding profitability, ROAA should be around 1.4% and ROAE should be between 12 to 13%. Now we are open to your questions.
Thank you. We will now begin the question-and-answer session. First, we'll read and answer written questions, and then we'll go with the audio questions via Onstage tool. If you have a question, please press the green button Request located into the Onstage box. From your phone, please press nine four one. Okay. Hello. I have two questions. The first one is about the expenses. Do you have any guidance for this year? Wait.
In connection with expenses, what I could say is that definitely we are living this inflationary environment that we do admit that is going to be controlled. It's going to take some time. Expectations are that this year is going to end sometime around 8 to 9%, and hopefully next year it will be around 4 to 5%. Hopefully, within the central bank's range. So having said that, we are living this abnormal period on which we are doing every effort to make sure that we contain as much as possible the general expenses of the bank. It means that the traditional austere tradition that a bank have is going to be further reinforced on one hand. And secondly, we are working heavily on finding different efficiencies that we have internally.
In addition to that, we are embarked on a very strict, you know, project whereby agility methodology is being implemented. The combination of them are going to facilitate the lower increase based on inflation. Hopefully, next year on- onwards, that situation should normalize. It's just a matter of a cycle that we are basically riding on. We feel comfortable we'll come ahead.
Mayara Sar, Riddle Bobb from Wells Fargo. Can you please provide an estimate of the impact of the recent credit card interest rate cut in your net interest revenues and overall profitability? Thank you.
The expectation that we have based on the fact that this new campaign is going to be for new purchases of certain things or for credit cards, is not going to exceed 0.5% of expected bottom line for this year.
Natalia Capacho from Bancolombia. Good morning. I have three questions. Can you confirm through which mechanism the 4.11% sale by the OPA will be made? Will it be done through the BVC? What do you expect from portfolio growth by segment? How do you expect deposits to behave this year in which interest rates continue to be high, but a slowdown in the portfolio is expected? The bank's strategy to achieve the proposed goals in a very challenging economy environment in 2023? Thank you.
In connection with the first one, Natalia, I could tell you that given that the amount of the passage is going to be lower than 5%, there's no need to go through the stock exchange, and we could do it directly. In connection with the other two questions, Ariel is going to provide the answer.
Hi there. Regarding the second question, we expect consumer and mortgage to grow to be closer to 12%, and in the case of commercial portfolio, close to 10%. The third and final question regarding deposits, we believe this year that growth can be close to 10%, especially in term deposits more than saving accounts.
Jaskaran Singh from Goldman Sachs. Are securities portfolios marked to market adjusted through OCI equity? What is the size of unrealized loss on held to maturity assets relative to tangible equity? What is the average duration of the held to maturity book and available for sale book? Thank you.
The amount, the unrealized losses that we have in our portfolio, which is in the available for sale category, is about COP 770 billion, which is about 5% of our total equity. The duration of the portfolio is about 3 years, with a concentration in maturity from 25 onwards, mainly to 27. We do believe that with the pass of time in the next year or so, this is going to be a much lower amount. Still, nowadays, it doesn't really constitute a threat to our solvency ratios. As a matter of fact, the amount that you see in our equity already includes the valuation of this portfolio.
Maria Jose Quiñones , Seminario SAB. Can you please repeat the guidance? Thank you.
Of course, Maria Jose. Loan growth is expected to be between 10% and 12%. Net interest margin, NIM, is expected between 4.5% and 4.6%. Net cost of risk is expected to be between 1.5% and 1.6%. Fee income ratio at 24%. Cost to income ratio around 48%. ROAA around 1.4%, and ROAE should be between 12% and 13%.
Camila Arismendy from Bancolombia. Hello. Thanks for taking my questions. I have two questions. The first one is about the expenses. Do you have any guidance for this year? The other one, could you give me some details about the loss generated by the spin-off of the 20.89% of the BHI? You executed a spin-off of a 75% equity stake in BHI on March 2022, and it generated a positive income. I would like to understand better. Thank you.
In connection with expenses, as I was indicating, we are working, you know, heavily towards limiting the impact of this environment, inflationary environment. We do believe that it's going to be above few percentage points above last year inflation.
Regarding the second question, explaining the loss for the sale of 20.89% of BHI, there was an impairment, and that was already explained in the December shareholders assembly. As Dr. Figueroa mentioned, the price was acceptable because market conditions have changed. That's why we thought that it was a fair price or even an attractive price for us, and we accepted the offer. And yes, the answer about the spin-off in March, we had an extraordinary income of about COP 1.3 trillion pesos.
That when you combine it with the COP 983 billion loss in December, you get a combined PNL of COP 341 billion gain for the whole year.
Fiorella Lastretto Granda from AFP Integra. Thank you for the call. My question is: How are you going to manage the increase in delinquency ratio from the consumer segment? Thank you.
Thank you for the question. I would like to begin by saying that we had a very good 2022 year in terms of the loan quality in all categories, I would say, in commercial loans and not only. Then you go one by one of the consumer categories in general, and you will see that the trend and the results are very positive. All together, we have 90-day past due loans of 3.5%, and that continues to be the case, and in some cases with certain improvement by the end of last year and even the beginning of this one.
However, in personal loans, we're beginning to see certain deterioration, small though, but that are, you know, bringing us to evaluate the, with very thorough detail, to make sure that we begin have a an early alert, so that we begin quickly closing those segments in which we believe that we have to become tighter. That's exactly what we're doing at this moment. In the previous weeks, we went through all the regular analysis, and we began particularly in the personal loans category. Perhaps we have to do it in some credit cards, but it's going to be marginal, at least at the moment. We are very attentive as to how the recent developments are presenting.
Thank you. If you have a question from your phone, please press 941. Okay. Daniel Mora from Credicorp Capital. What is the long-term target guidance of ROAE, and what would be the improvement when compared to the current guidance of 12% and 13%? Thank you.
Thank you, Daniel. Our long-term target guidance of ROAE is between 14% and 15%. When you ask, for example, what should we improve, we think, for example, there is room to improve in net interest margin when we get the mix that we are hoping to get in the next years. There is always room for improvement also in efficiency ratios and also in the fee income ratio, where we see digitalization is a great tool to get there
Okay. Okay. Julián Ausique from Davivienda Corredores.
Hi, everyone, and thank you for having my question. I would like to understand a little bit the expectation about the cost of risk because we already seen during the Q4 of the year an increase in the cost of risk for Colombia. On the other hand, we saw a real decrease in the cost of risk of Panama. Also, I would like to know if the bank have to release the information about the private agreement that we have to for selling the BHI participation that is remaining. Will the market know the price of the transaction and the condition of the transaction? Thank you.
Of course, Julián. First, regarding your second question, there is available public information in our website about the transaction. There was a shareholders assembly at the beginning of the week. The price is known, it's the same as in the sale of or the tender offer, that is COP 293. It doesn't have to go through the stock exchange because the transaction is below 5% of the total equity. Regarding your first question, our expectation for cost of risk, as I mentioned, is between 1.5% and 1.6%. That the breakdown of that is a slightly higher number for Colombia, maybe 1.7%, 1.8%, but a lower than 1% figure for Panama.
You know, the, a couple of years ago, especially in 2020, we constituted some provisions that we haven't used yet. So that's why we will be able to give that performance of a net cost of risk between 1.5% and 1.6% this year.
Okay. Daniel Mora. From Credicorp Capital. What is the long-term guidance of ROAE, and what would be the improvement when compared to the current guidance of 12% and 13%?
Yeah, we already answered to that. I think there's another question in the queue.
Okay. Can you please repeat what would be the impact of the benefit provided to credit cards or margins, fees, and pay else cost of credit? Would you implement this benefit to other products or just credit cards? Daniel Mora from Credicorp Capital. Again, thank you.
The amount is going to be 0.5%, 0.1% of total expected income for this year. At this moment, it's going to be offered to holders of Banco de Bogotá credit card for certain bills and for new purchases. That's what we can comment on it at this moment in time. Thank you for your question.
We have no further questions at this time. I will return to Mr. Alejandro Figueroa for final remarks.
Thank you very much to all of you, ladies and gentlemen, for attending the meeting. You are also invited to the next quarter conference call. Have a good time, all of you.
Thank you, ladies and gentlemen. This concludes today's conference. Thank you for your participation. You may now disconnect.