by the green force working clusters. the financial sector forum will likewise facilitate alignment and implementation of the common standards across the financial sector. with these developments, we believe that banks are better equipped in scaling up sustainable or green finance and in promoting the low carbon transition financing. but we recognize that there are first mover banks. in fact, of 15 issuers of green, social and sustainability bonds in the country, seven are banks. since 2017, they have issued around usd 2. 9 billion worth of sustainable bonds. during the pandemic, two banks have issued social bonds totaling approximately p29 billion to finance the needs of eligible micro, small and medium enterprises. at the regional level, sustainable bond markets in asean + 3 continued to expand to usd 415. 6 billion as of end - december 2021 with green bonds dominating the market at usd 294. 0 billion. meanwhile, the country is also seen to issue sovereign bond in the international sustainable bond market. the department of finance recently launched the sustainable finance framework. this sets out how the national government intends to raise green, social or sustainability bonds, loans and other debt instruments in the global capital markets. this information presents clear opportunity for banks and investors to build on the strong momentum in the issuance of green and sustainable bonds both at the local and regional markets. achieving the nationally determined contributions and the sustainable development goals also present an opportunity for sustainable finance. financial institutions can introduce new and innovative sustainable financial instruments that are responsive to their clients ’ needs and at the same time contribute to our carbon emission reduction targets of 75 percent by 2030. these sustainable financial products may also be extended to fund the post - pandemic recovery of the micro, small and medium enterprises and agricultural sectors which were greatly affected by the pandemic. meanwhile, companies that engage in sustainable projects or activities may benefit from obtaining funding at potentially reduced competitive costs. this may be possible through the concerted efforts of both public and private sectors to develop a pipeline of green investments and to incentivize sustainable finance supplemented with blended finance. with the philippines being vulnerable to typhoons and climate change related risks due to its geographical location, “ green recovery ” approach is the ideal to strike the right balance in implementing economic strategies and in building climate resilience. we are confident that our sustainability efforts complemented by favorable macroeconomic fundamentals and sound banking system will all tie in as we move forward to a more stable, resilient, and inclusive philippine financial system. in closing,

benjamin e diokno : sustainable finance and its impact on the philippines ’ post - pandemic economic outlook speech by mr benjamin e diokno, governor of bangko sentral ng pilipinas ( bsp, the central bank of the philippines ), at the asia - pacific esg investors summit, manila, 9 february 2022. * * * to our fellow advocates of sustainability, co - speakers, and everyone here present, good morning. it is a pleasure to speak in front of the “ pillars of the green industry ” to share the bsp ’ s critical role in promoting the sustainability agenda in the financial system. let me start by providing you with an update on the philippines ’ economic outlook, followed by the bsp ’ s initiatives and key milestones in our sustainability playbook. lastly, i will leave some insights on how these sustainable aspirations tie - in to post - pandemic economic outlook. we welcome the year 2022 with optimism. amid the threats from the evolving variants of covid19 virus, we see that the philippine economy will be on a strong growth trajectory. the strong fiscal and monetary measures complemented by appropriate health interventions helped boost the country ’ s better than expected economic growth of 5. 6 percent in 2021. meanwhile, the country ’ s headline inflation rate averaged 4. 5 percent in 2021. we see inflation easing to within the target range of 2 to 4 percent this year. the country ’ s gross international reserves remain hefty at $ 108. 9 billion as of end - december 2021. this gir level is equivalent to 10. 3 months ’ worth of imports of goods and payments of services and primary income. personal remittances from overseas filipinos posted an increase of 5. 3 percent to usd31. 6 billion for the first eleven months of 2021 as compared to same period in 2020. the strong growth in cash remittances provides a consistent supply of foreign exchange and source for consumer spending. the peso appreciated by an average of 0. 75 percent or p49. 3 / $ 1 in 2021 from 49. 6 / $ 1 the previous year. the philippine banking system remains sound with ample capital and liquidity buffers to support continued growth in assets and deposits amid the covid - 19 pandemic. the banking system ’ s total assets grew year - on - year by 7 percent to p20. 4 trillion as of endnovember 2021 from the expansion of funds, mainly from deposits,