to say a few words about the ecb ’ s general stance towards financial innovations such as libra. the ecb ’ s treaty - based tasks include defining and implementing the single monetary policy and promoting the smooth operation of payment systems. in the context of monetary policy, the ecb takes a close interest in market innovations that could directly or indirectly affect the eurosystem ’ s control over the euro or shift some of its monetary policy to third parties. depending on libra ’ s level of acceptance and on the referencing of the euro in its reserve basket, it could reduce the ecb ’ s control over the euro, impair the monetary policy transmission mechanism by affecting the liquidity position of euro area banks, and undermine the single currency ’ s international role, for instance by reducing demand for it. in the context of the smooth operation of payment systems, the ecb takes a close interest in market innovations that seek to replace the euro with alternative settlement currencies or create new and autonomous payment channels. although some of libra ’ s aims are legitimate, reductions in cross - border fund transfer costs and other efficiency gains can also be obtained through established instant payment solutions. the eurosystem recently launched the target instant payment settlement service, or tips – a pan - european, 24 / 7 settlement service for instant payments. by operating in central bank money, and by being embedded in target2, tips provides a high - performance payment solution that is safer and more economical than questionable, market - based retail payment innovations. let me conclude here. in the field of money, history bears testament to two basic truths. the first is that, because money is a public good, money and state sovereignty are inexorably linked. so the notion of stateless money is an aberration with no solid foundation in human experience. the second truth is that money can only inspire trust and fulfil its key socioeconomic functions if it is backed by an independent but accountable public institution which itself enjoys public trust and is not faced with the inevitable conflicts of interest of private institutions. 3 / 4 bis central bankers'speeches of the various forms that money has taken throughout history, those that have best fulfilled their purpose and proven the most credible have invariably benefited from strong institutional backing. this backing guarantees that they are reliably available, that their value is stable and that they are widely accepted. only an independent central bank with a strong mandate can provide the institutional backing necessary to issue reliable forms of money and rigorous

sa mga bangko na'yan na bumabagsak?'very easy answer : reported exposures, zero. and the [ philippine ] banks that have exposures, it's the funds they manage for their clients that are exposed. in other words, the client told them to invest. therefore, it's not bank loss. so, that's the typical question i use to get. over time, the questions became more sophisticated,'hindi ba'yung source [ of the collapse ] sa silicon valley [ bank ] ay pagtaas ng policy rate?'ang sagot naman namin : the philippines is different. we are not starting from a severe zero policy rate. our banks are heavier on the portfolio side, the local portfolio side, and the security side. and on top of that, their placements in bsp are also quite large. so, if you take out the placements of bsp with the non - loan assets, the remaining share is only 30 percent. finally - this is where being primitive [ younger bond and capital markets ] is an advantage because the us has such a developed bond market that they have 30 - year bonds. so when the rates change, literally, the impact on the price is huge. to begin with, the hit [ from recent global banking developments ] is smaller and our banks are well - capitalized, well - managed, and well - governed. give yourself a round of applause. and the exceptions, please leave the room. banks lend support to domestic recovery because of that, when we [ the economy ] did recover, the banks played a major role because they are able to lend. when mobility restrictions were lifted, the banks were there to lend. of course, we do see that real estate loans are lagging behind, but maybe for the better, right? because, that's always a question of financial stability, which is : did real estate overdo it? because, historically, a lot of the crisis [ occurs ] because real estate prices kept rising, nobody defaults. because all you had to do was sell what you bought. in other words, the quality of lending was never tested until prices dropped. in a sense, i do not necessarily see the slowdown in real estate lending as a bad thing. maybe it's a correction. as you can see the leading borrowers are information and communication ; real estate is large but in terms of growth rate,