amando m tetangco, jr : strengthening partnerships for a more resilient banking system remarks by mr amando m tetangco, jr, governor of the central bank of the philippines ( bangko sentral ng pilipinas ), at the thanksgiving dinner hosted by the aig philam savings bank, inc., makati city, 23 november 2006. * * * thank you ched. former central bank governor and now philamlife president and ceo jose cuisia, jr., mr. ridha wirakusumah of aig asia, other officers and staff of the philamlife - aig family, fellow bankers, special guests. good evening! i am glad i am here to witness what you call the gala premier to celebrate the merger of philam savings bank and aig credit card company philippines which gives birth to aig philam savings bank. to us in the banking sector, this strategic move by the philamlife group and aig to consolidate their consumer finance businesses will further strengthen the bank ’ s financial position and boost its competitive edge. ultimately, this should translate to a more efficient and reliable delivery of financial products and services to the public. to central bankers like me who are responsible for keeping the banking sector sound, healthy, and responsive to the needs of the economy, this is welcome news indeed. my former boss, former central bank governor joey cuisia, will attest to this. in fact, it has been the policy of the bangko sentral ng pilipinas to encourage mergers and consolidation …. so that we will have stronger and more globally competitive banks. thus, those keeping track of developments in the banking community will realize that the aig philam savings bank is the latest outcome in a series of mergers that have been taking place as our banks gear up for increasing competition. in this period of global convergence where competition is the norm and banks are measured against rigorous standards, one strategy that enhances the likelihood of survival and sustained viability is to go the way of mergers and consolidation. in this regard, we foresee a scenario of fewer but more financially powerful universal and commercial banks that are better able to compete in a world of more open borders. however, this is not to say that there will be no place in the evolving financial environment for smaller banks such as thrift and rural banks. in fact, smaller specialist banks cover important niche markets that have unique needs ; for instance, consumer trade and

, malaysia, union of myanmar, singapore, thailand, socialist republic of vietnam, and the philippines. i hope therefore that clean and green topics will be very much a part of your discussions. in words and in deeds, let us help take on the case for a cleaner and better environment in our respective mints, in our homes, and in our communities. our own security plant complex has already taken meaningful steps in this direction. i hope that this teman conference will give it more new ideas to implement as an eco - friendly mint. i am counting on it. finally, i wish to congratulate the members of the 14th teman organizing committee – my colleagues at the bangko sentral ng pilipinas – for all their efforts in ensuring the success of this conference. please stand up so we can acknowledge you with a round of applause! to our foreign guests, i advise you to find time to explore and know more about our country, our culture, and our people. you will find that this is a great place which is worth coming back for. once again, i wish you all a successful and fruitful conference! thank you all and mabuhay!