stability to prices through our monetary policies and in keeping our banking sector sound, stable and liquid. all these give us cause to be optimistic about sustaining inclusive growth in 2016 and beyond,... particularly if adherence to good governance becomes the norm from the national agencies as well as to the local government units. members of the lmp, good governance is also the rationale that underpins the requirement by government to get prior opinion of the bsp ’ s monetary board ( mb ) on all government loans, including those from lgus to ensure that borrowings are consistent with overall state financial goals. this requirement is essentially based on the 1987 constitution ( article 12 ) that mandates the bsp to provide policy direction in the areas of money, banking and credit. furthermore, republic act no. 7653 or the bsp charter ( section 123 ) provides that the bsp functions as financial advisor on official credit operations of the government, its political subdivisions and instrumentalities. bis central bankers ’ speeches the objective is to enable the bsp to monitor public sector borrowings and to assess their impact on monetary aggregates, the price level and the balance of payments in fulfillment of its role and mandate to promote and maintain monetary and financial stability. as you may know, requests for mb opinion on planned borrowings may be submitted directly to the bsp by the lgus or through the lending banks. the bsp recognizes the importance of credit to lgus, particularly municipalities. thus, the bsp has issued circulars to streamline the documentary requirements and facilitate the review process on how lgus can secure mb opinions on lgu loans. we have since registered a significant increase in lgu ’ s engagement with the bsp. in 2015, the bsp received a total of 347 requests for mb opinion, an increase of 35 percent from the 257 requests in 2014. the cooperation of the lgus and lending banks enabled the bsp to render mb opinion on 334 or 96 percent of these requests. about 76 percent of the requests we received in 2015 came from municipalities, involving a total of p12. 2 billion. it is notable that the majority of the loans for which bsp rendered an opinion in 2015 were used for infrastructure projects such as farm - to - market roads, public markets and multi - purpose halls. these purposeful spending by local governments provide a boost not only to community development but also to broader national growth. indeed, in the context of governance, local government units play a significant role in ensuring

new generation of filipinos who are adept in managing their own resources and in strengthening the country ’ s financial system. let us cooperate therefore in implementing this breakthrough program. indeed, it should be another busy year for all of us. i therefore call on the officers and members of bmap to assist the bangko sentral in ensuring the successful implementation of these reforms and advocacies. we will again count on your support and commitment to these programs. together, let us forge an even stronger partnership as we continue to foster stability in the financial system and secure more sustainable and higher growth path for our economy. finally, i thank your outgoing officers – led by bobby banaag – for a job well done and congratulate the new set of bmap officers – headed by mike villareal – on the successive breakthroughs they will set during their term. mabuhay ang bmap! mabuhay ang pilipinas! maraming salamat sa inyong lahat!