increase in loans reflects the modest recovery in banks ’ overall lending attitudes along with improved economic prospects owing to the gradual lifting of lockdown measures. outstanding loans for production activities was mainly driven by the expansion in loans for real estate ( 7. 2 percent ), information and communication ( 26. 6 percent ), financial and insurance ( 6. 0 percent ), and manufacturing ( 4. 4 percent ). we see loan activity continuing to improve in the coming months as public health restrictions are gradually eased and domestic demand gains further traction. looking ahead, the central bank will remain patient in keeping policy support available to the 1 / 2 bis central bankers'speeches economy — particularly given the continued downside risks to economic activity associated with the pandemic. the inflation outlook over the policy horizon remains manageable. average inflation is seen to slightly exceed the upper end of the target band of 2 - 4 percent this year but is projected to settle close to the midpoint of the target range in 2022 and 2023. inflation expectations remain firmly anchored to the baseline projection path. but we are ready to adjust policy settings as needed to ensure the fulfillment of its price and financial stability mandates. we aim a smooth normalization of our time - bound pandemic measures. monetary policy settings will be outcome - based rather than anchored on a particular date. consistent with such approach, we will remain guided primarily by the outturns in economic data, such as inflation, real sector activity, and liquidity and credit conditions. i will end here. 2 / 2 bis central bankers'speeches

amando m tetangco, jr : upgrades and strong growth – dealing with the short - term to get to the end goal speech by mr amando m tetangco, jr, governor of bangko sentral ng pilipinas ( the central bank of the philippines ), at the asset forum, makati city, 26 june 2013. * * * these are interesting times … as i survey this ballroom, i see that in our midst are some of the individuals most affected by the global and domestic developments over the last few weeks. i was on my way – literally on the road – to a governors ’ meeting in switzerland on thursday when news of the market ’ s reaction to the fed ’ s statements hit my blackberry. the divergence in what the guidance the fed meant to convey about its policy and how the market interpreted mr. bernanke ’ s statements and his assessment of the state of the us economy has created some furor across financial markets around the globe, including our own local financial markets. i have been asked what i thought about the recent market movements. i say, this market price action is a good thing. it is good because it helps put a brake somehow on the exuberance, and thereby help reduce some of the risks from bubble formation in certain asset classes that could lead to more financial market imbalances. have the movements been excessive? well, rather than answering that question, i would say, the recent market movement can help separate the “ wheat ” from the “ chaff ” – or to those who enjoy a good glass of beer, help raise the “ head ” to the top of the glass. when these separations are completed, the process could actually create opportunities for those who keep their eye on the ball. let me therefore repeat … we live in very interesting times. times like this remind me of the one clear fact i have learned, first as head of bsp ’ s treasury and now as bsp governor – “ there is always volatility on the way to recovery. the road to recovery is never a straight path. ” and the one clear lesson i have learned from periods of volatility is this : “ keep the main things, main. ” in other words, focus on your goal and don ’ t be distracted because volatility is inevitable. i hope you will indulge me when i say that my nearly four decades of central banking experience bear me on this assertion. to help me keep the main