Nestor A Espenilla, Jr: Statistical and actual inclusion
Speech by Mr Nestor A Espenilla, Jr, Governor of Bangko Sentral ng Pilipinas (BSP, the central
bank of the Philippines), at the 2017 BSP-DepEd Annual Oratorical Contest, Manila, 27 October
2017.
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National Satistician Lisa Grace Bersales of the Philippine Statistics Authority, DepEd
Undersecretary Victoria Catibog, distinguished members of the Board of Judges, our sixteen (16)
contestants this afternoon, their families, friends, fellow public servants and BSPers, a pleasant
afternoon to you all. On behalf of the Monetary Board and the BSP, I welcome you - guests,
ladies and gentlemen to the Bangko Sentral ng Pilipinas.
It is very invigorating to join you this afternoon at the BSP-DepEd Annual Oratorical Contest
where the fundamental role of statistics in attaining our collective aspirations is highlighted.
There is such a young and promising crowd here today.
The presence of our partners in furthering financial inclusion, the Department of Education and
the Philippine Statistics Authority, is also very heartening.
The Philippine Statistics Authority has played a crucial role in helping us conduct our public
perception surveys. These surveys allow us to gauge public awareness of our mandates, our
initiatives and advocacies so that we can better serve our citizens, address the issues they
deem important and discover their needs. Also the PSA is one of the government agencies
crucial to the development and implementation of a national ID system which when launched, we
believe will foster a more inclusive financial system, granting the unserved and underserved
access to financial services. Maraming Salamat PSA.
Aside from the holding of this annual contest, the DepEd and the BSP have worked together in
the development, publication and use of very important teaching guides on financial literacy,
which is used by different grade levels across the country. The goal is to equip school children
with the knowledge and skills to manage their resources at an early age through integration of
financial lessons in the elementary curriculum. We have important advocacy projects together
such as the annually held Guro ng Pagasa, where outstanding teachers are recognised and
awarded for their innovative ways in imparting financial literacy and for conducting lessons on
savings and entrepreneurship, markedly changing their communities for the better. The
partnership we have recognises the importance of the youth in development and the crucial role
that education plays in their development and future betterment... Maraming salamat DepEd.
Today, we shall toast the importance, role and indispensable value of statistics in
nationbuilding. As a central banker of thirty-six (36) years, I have seen, first-hand, how important
statistics is in policy development. As policy makers, we know that statistics provides reliable
snapshots of our realities. Statistics allows us to paint a picture of what we hope for so that we
could concretely visualize and set our goals. It allows us to form sound policy and quantitatively
measure and monitor the progress of our initiatives and programs.
In the Bangko Sentral, policy formulation is both data driven and data intensive. Sound statistics
point us to issues and vulnerabilities that must be addressed. Statistics and careful statistical
analysis are crucial input to our monetary policy actions. Likewise, banking regulations and
financial policies must also be grounded on comprehensive banking statistics and an extensive
set of financial indicators. These evidence-based policies support monetary and financial
stability, so that there would be strong and stable economic growth.
Our national vision for development - Ambisyon Natin 2040 itself was crafted based on statistical
data - data from a rigorous consultative process involving the conduct and analysis of a national
survey, focus group discussions and technical studies. In the end, the responses and numbers
articulate the needs and desires of all Filipinos which were simplified into a vision broadly
understood and accepted by all.
In Ambisyon Natin 2040, Filipinos express the hope for strongly-rooted, comfortable and secure
lives. Sa Filipino, ang hangarin ng bawa't isa sa ating mga kababayan ay ang magkaroon ng
matatag, maginhawa at panatag na pamumuhay.
In the BSP, this too is our vision... to be a catalyst for a financial system that delivers a high
quality of life for all Filipinos. We believe we are on the right track as the indicators tell a positive
story.
We are now one of the fastest growing economies in Asia, with an annual GDP growth of more
than 6.0 percent since 2012, notably exceeding the long-term average of 4.3 percent. Our
external position continues to be favorable, with Gross International Reserves (GIR) of $81.3
billion as of end-September. Inflation is benign and broadly within the BSP's target range.
The Philippine Banking system sustains its growth momentum and remains supportive of
longterm economic growth and stable financial conditions. These economic gains are fruits of years
of reforms and prudent, evidence-based policy making, where, yes, statistics and statistical
analysis played an indispensable part.
But amidst these positive numbers, statistics also tell another story. It reveals an issue that we
must not ignore. Poverty incidence and unemployment rates are still high. Social inequalities
remain with lingering wide disparities in income and quality of life across different sectors of
society.
At present, one in five Filipinos are poor. This translates to 21.9 million Filipinos in 2015. These
Filipino families living in poverty have less than P9,064 a month on average to spend on basic
needs.
A significant portion of our population remains unbanked and without access to appropriate
financial products and services. According to the 2014 Consumer Finance Survey, 86% of
households, do not have a deposit account. Meanwhile, the results of the National Baseline
Survey on Financial Inclusion rolled out in 2015 indicates that only 43.2% of Filipino adults have
savings, 32.2 percent have stopped saving money, and the remaining 24.5% have never even
saved. Of those who have never saved, 9.1 percent said that they did not have enough money to
start.
Clearly, there is much more to be done.
In the BSP, we believe that for economic development to be more meaningful, there must be
greater financial inclusion... More and more of our countrymen must be granted access to, and
usage of, financial services and products, have greater financial literacy and education and
increased awareness and consumer protection. This is to empower them to make more
informed decisions with respect to savings, investments and credit, so that they can participate
in the financial system.
In identifying and analyzing existing inclusion gaps, the BSP utilizes statistical tools and analysis.
In 2015, a national baseline survey on financial inclusion was rolled out to assess the current
financial inclusion landscape to help the BSP respond with appropriate evidence-based policies
and regulations. This is part of a comprehensive financial inclusion data framework developed
by the BSP to identify and analyse inclusion gaps and opportunities.
I believe there is much hope for the future. With the collaboration and cooperation of our
government agencies - like the DEPED and the PSA, our partners in the private sector and the
public, accomplishment of our collective vision is forthcoming.
After all, a collective vision demands collective action. Together, we can achieve the statistical,
actual, and meaningful financial inclusion of our countrymen as we progress economically.
I must now wrap this message up otherwise, I might be mistaken for an oratorical contestant....
As I close, allow me to congratulate each of the sixteen (16) contestants here who have won
their respective division levels. Just by being part of this elite group of finalists, you have already
accomplished a lot. By recognizing and being able to voice your sentiments and reflections on
how timely, relevant and sound statistics play an important role in raising the standard of living for
all FIlipinos, already, you are all winners. This is such an important principle, from which
numerous insights can be culled....
Moreover, I congratulate each one of you for knowing and wielding the power of words to convey
transformative ideas, and for your lucid eloquence, which, if you did not possess, you would not
be here today... Please, let us give all contestants here a round of applause. I wish each of you
the best of luck and Godspeed. We look forward to hearing from each of you.
Maraming Salamat sa inyong lahat.