to further develop the domestic capital and foreign exchange ( fx ) markets. we will continue streamlining documentary requirements for fx trade and non - trade transactions. the bsp will likewise issue a circular on fx market governance framework, formalizing policies that promote fair, liquid, and transparent fx market. and we shall continue to pursue meaningful initiatives and partnerships to advance financial education and inclusion, and consumer protection. no one is dropping the ball. the bsp is here with you for the long haul. concluding remarks as you can see, there is much work to be done. so much work. after decades of hard work, we are now at a point when we are set to update the bsp charter to keep up with the rapid global challenges. we collectively thank the administration of president rodrigo roa duterte for taking us to the finish line right in time for the celebration of 70 years of central banking in the philippines. this is truly an institutional milestone. thank you and mabuhay tayong lahat! 4 / 4 bis central bankers'speeches

pressures in the foreign exchange spot market, and to provide a hedging facility for those with foreign currency - denominated borrowings, the bsp reactivated the currency rate risk protection program or crpp in september 2018. yes, indeed we had some challenges. but i believe we rose decisively to meet all of them. the philippine economy maintains its record of uninterrupted gdp growth for 80 consecutive quarters. this covers an impressive span of 20 years! 1 / 4 bis central bankers'speeches we continue to be one of the fastest growing economies in the region! the resiliency of our economy can be attributed to more than two decades of sound and strategic reforms. these reforms have created buffers for the nation to withstand shocks and benefit from a more flexible policy space. the consistently sound and stable condition of the philippine banking system – a product not only of prudent regulation and risk - based supervision, but of earnest cooperation from the sector itself – is a key anchor of our growing economy. assets of the philippine banking system continued to expand to p16. 4 trillion by end - november 2018, attributed mainly to deposit growth. most of these deposits were deployed to lending for productive activities. loan quality remains satisfactory as banks continue to adhere to sound credit underwriting standards. meanwhile, capitalization continues to build up, with capital ratios remaining well above national and international thresholds. overall, amidst the challenges of 2018, the philippine economy has remained strong and robust. it continues to live - out its growth narrative. congratulations everyone. but we shouldn ’ t also overlook the fact that 2018 was also an exceptional year in pursuit of bold financial sector reforms. we introduced several refinements in the interest rate corridor ( irc ) system which provided bsp with greater operational flexibility. with the resulting firm anchoring of market rates to the irc, we were able to reduce reserve requirements ratio ( rrr ) by a total of 200 basis points as operational adjustments. this keeps us on track of the medium - term goal of a phased and gradual approach in reducing rrr to single - digit level. we also continued to liberalize foreign exchange rules and pursued improvements in the governance framework of the fx trading market. we likewise implemented measures to further develop the domestic capital market. these include enhancement of rules to facilitate bank bond issuance, paving the way for more private bond issuances. the bsp also issued enhanced guidelines on marking - to - market of financial instruments in response to the adoption