performing loans ( npls ), albeit slightly higher, remain manageable. the npl ratio stood at 3. 2 percent as of october 2020, way better than the double - digit npls we saw in the aftermath of the asian financial crisis. meantime, we have embarked on a reform momentum toward the “ new economy. ” this is our way of helping ensure the crisis — which has given a sense of urgency for reforms — is put to good use. our legislative agenda include : ( i ) a bill that will expand the list of sectors that banks can lend to, in compliance with the mandated lending for agriculture development ; 2 / 3 bis central bankers'speeches ( ii ) a bill that will lift secrecy of bank deposits, which will help efforts against tax evasion and money laundering ; ( iii ) a bill meant to enhance accessibility of credit to msmes through a comprehensive credit database, and ( iv ) a bill that will improve the protection of consumers of financial products and services. the bsp also has stepped up efforts toward financial digitalization — side by side our efforts to improve cyber security supervision. last october, we launched the digital payments transformation roadmap. this will aid faster economic growth and usher an era of a more financially inclusive philippines. with financial technology ( fintech ), credit, as well as savings, investments, and insurance products become accessible to more people. also, since it hastens payments, fintech increases the velocity of capital turnaround, thereby boosting income growth. also, we have issued frameworks for open banking, for the creation of digital banks, and for enhanced risk management. with our efforts, the philippines is recognized for having one of the best regulatory environments for financial inclusion. prior to the pandemic, the philippines had made significant strides in the economic and social fronts. poverty incidence had fallen from 23. 5 percent in 2015 to 16. 7 percent in 2018. unemployment rate had dropped to 5. 1 percent in 2019 from 7. 5 percent in 2009. and, we were about to become an upper - middle income economy. the covid - 19 crisis has caused setbacks for us. to return to our growth trajectory, medical and macroeconomic interventions should go hand in hand to protect public welfare, which is crucial to boost consumer and business confidence. having enough monetary space and tools, the bsp will continue to coordinate with the other government agencies as it shares in the heavy lifting to quicken economic recovery. with our whole - of -

greater use of financial services. role of banks beyond products a third aspect is the value added by banks or specifically bankers beyond “ cold ” availing of savings, loan and insurance products and payments platforms. ideally, bankers are partners in ensuring optimum benefits from the products they offer ( including maximising benefits and minimising costs ). this is through the advice they give customers, monitoring of performance of accounts and funded projects, as well as customer counselling and taking corrective action to address emerging account maintenance challenges. in so doing bankers help sustain value addition and productivity of financial resources and services towards welfare enhancement and positive impact on overall economic growth. i implore bankers to ( and indeed trust they will ) prioritise and elevate these roles in their operations, which to date appear to be peripheral, in order to amplify the impact of their products and services on welfare, livelihoods and economic performance, broadly. financial literacy and discipline a fourth factor in ensuring meaningful financial inclusion is financial literacy and discipline at the individual or customer level. this entails knowledge of banking products, their value in terms of impact on welfare, related costs and risks. it also involves understanding and execution of responsibilities such as repayment of loans in accordance with the agreed terms, good conduct and honesty in handling financial matters. ultimately the backbone of financial discipline is reasonable spending that is aligned to one ’ s income. notably, it is also financial discipline and good conduct of accounts that contribute to soundness of a bank, financial stability and prospects for monetary policy undertaken by the bank of botswana and government programmes to have a meaningful impact on welfare and economic activity. inversely, financial indiscipline, such as borrowing from multiple sources and overindebtedness has the potential to undermine macroeconomic stability and, more broadly, the safety and soundness of banks. distinguished guests, against this background, it is appropriate that botswana savings bank has responded positively to the need to extend the reach of financial services to an otherwise underserved part of the country. this is within its mandate. botswana savings bank, a wholly owned botswana government entity, was established by an act of parliament in 1992, with the mandate to mobilise affordable financial services, mostly savings, and grant loans on commercial terms and provide efficient banking and financial services to meet the needs of the rural and urban dwellers in botswana. in fulfilment of this mandate, the bank has three standalone branches in gaborone, francistown and pal