bring. this is the mindset for the pursuit of “ financial stability ” as the new global prudential norm - our efforts are organized towards preventing another systemic collapse of the financial markets. this is very apparent in the global reform agenda where containing “ too - big - to - fail ” financial institutions and addressing the consequences of inter - connectedness are prominent objectives. basel 3 runs under the mantra of “ making banks stronger ”. it does so by institutionalizing better quality capital, introducing loss - absorbency parameters for capitalcompliant instruments, improving market transparency and setting prescriptive caps / floors for prudential purposes. on the other hand, new standards completely redefine the risk governance for financial market infrastructures or fmi. this is done with an increased appreciation for contagion risk and the need for stronger it security protocols. consumer protection and financial literacy are now considered prudential norms rather than as optional add - ons. this is because the decisions bis central bankers ’ speeches and behavior of informed financial consumers are itself effective stabilizers against market shocks. from the perspective of the market, these reforms increase the cost of doing business. granted, these regulatory premia have cost implications ; but it would be costly to have yet another crisis. we should also factor in, that new standards now cover more risks and look at the same risks at a higher prudential bar. the “ new market landscape ” is defined not only by tighter regulations but by wider coverage of risks and a more definitive handling to mitigate further build - up of known risks into systemic proportions. it can be said that new norms change our understanding of the market - - from allocating scarce resources into one that allocates risk capital. by extension then, the key commodity is information that drives decisions across various options. it is important that reforms are put in place and safeguards continuously updated to uphold the integrity of that information so that it is not abused. excellence starts from core competencies ladies and gentlemen, it should be apparent that the preferred market architecture today is substantially different from what we had in the past. if we aspire to excellence in banking, it must start from developing core competencies. however, let me be clear - - the need for continuing education has not changed ; what has changed is the mindset for achieving “ banking excellence ”. we still need to know about market, credit and operational risks ; but beyond these, we now need to also appreciate risks that are not so

benjamin e diokno : empowerment of persons with disabilities through digital financial inclusion speech by mr benjamin e diokno, governor of bangko sentral ng pilipinas ( bsp, the central bank of the philippines ), at the43rd national disability prevention and rehabilitation week, 18 july 2021. * * * good day to everyone. the bangko sentral ng pilipinas is pleased to join the celebration of the 43rd national disability prevention and rehabilitation week. this year ’ s theme of “ kalusugan at kaunlaran ng pilipinong may kapansanan, isulong sa gitna ng pandemya ” is timely and very much aligned with the thrust of the bsp. the covid - 19 pandemic, while sparing none, has worsened difficulties for our most vulnerable and overlooked segments. socioeconomic gaps, including access to vital services, have widened. empowerment could thus not be a greater imperative. this is why we at the bangko sentral ng pilipinas believe that empowering our kababayan, especially in these extraordinary times, can lead to a better financial future and propel us to post - pandemic recovery and growth. the empowerment of the vulnerable sectors has always been an underlying objective of the bsp ’ s efforts. for this reason, we are continuously stepping up our financial inclusion efforts to ensure financial services are within easy reach for all filipinos, including persons with disability. with access to a wide range of financial services, filipinos can better manage their finances, seize income opportunities, and build financial resilience. financial inclusion therefore empowers individuals to improve not only their welfare, but also that of their family and community. the need for financial inclusion has been highlighted by the pandemic as people needed to transact digitally. people who had a transaction account were able to safely and conveniently conduct financial transactions through their mobile devices at the comforts of their home. this crucial capability for digital transactions should be within reach by every filipino in the new, and increasingly digital, economy. the bsp has therefore committed that by 2023, at least 70 % of adult filipinos own and use a formal account, and at least 50 % of retail payment transactions are performed digitally. we are optimistic of achieving these targets, even earlier than planned. over the years, the bsp has laid down the foundation for financial inclusion through our regulations and initiatives to build the inclusive digital finance ecosystem