to receive funds at an earlier time than the usual end of banking day. with this enhanced feature, we hope that consumers will be incentivized to use pesonet for greater convenience, faster settlement, and better liquidity management. this enhancement also stands to improve person - to - government payments made through egov pay, which is another facility that runs through the pesonet. with pesonet mbs, payments for taxes, permits, fees, and other obligations to the government using egov pay will be faster. as more filipinos embrace digital payments, we are optimistic that pesonet mbs would bring 1 / 2 bis central bankers'speeches us closer to our strategic objectives under the bsp ’ s digital transformation roadmap : namely, first, digitalizing 50 percent of retail payments volume, and second, onboarding 70 percent of adult filipinos to the formal financial system by 2023. they say, “ teamwork makes the dream work. ” hence, i would like to commend our partners in the payments industry for helping us turn this vision into reality. despite the challenges from the pandemic, we, at the bsp, remain committed to closely collaborate with the various stakeholders in the payments industry, as well as in the public and private sectors to deliver safe, convenient and responsive digital payment services that help our fellow countrymen thrive in the new economy. together, let us continue to work towards achieving our shared goal of building a vibrant and inclusive digital philippine economy where every filipino can have meaningful participation. once again, congratulations to all the men and women who worked tirelessly to make the pesonet mbs launch a success! 2 / 2 bis central bankers'speeches

risk triggering exchange rate adjustment among competitor economies – particularly in asia, and would spread deflationary forces across the globe. although its recovery has been slower than previous economic expansions, the us is the main bright spot in the global economy. but even here there are significant puzzles around the labour market and investment climate. why, for example, has recent us labour productivity growth been so slow, and what explains the substantial wage moderation and weakness in business investment at this stage of recovery? on the policy side, there is uncertainty as to when and how fast the process of raising interest rates might take place, and its possible impact on international growth and asset prices – especially at a time when the bank of japan and european central bank are considering expanding their quantitative easing programs. these are some of the considerations that shape the world of central bankers. it ’ s a world of complex linkages, of instantaneous information, massive daily cross - border portfolio flows, unprecedented monetary accommodation and, in some instances, sharp swings in market liquidity and asset prices. it ’ s also a world in which high expectations have been placed on central banks to use all of the scope within their mandate to stimulate growth in demand and counter the risk of inflation remaining below desired goals for extended periods. in seeking to do so, central bankers have often had to work without the support of fiscal policy, or the structural adjustment reforms needed to raise potential output growth. 3. monetary policy in a small open economy central bankers also operate in a world where there is widespread overestimation and misunderstanding of what monetary policy can deliver. i will elaborate on three areas that may contribute to this. these concern the scope of monetary policy ; the dynamics – notably in terms of transaction volumes, driving forces and time horizons – of financial markets and their interaction with monetary policy ; and the degree of precision of the links between policy actions and outcomes. i ) scope of influence flexible inflation targeting here and overseas has been successful over the last 25 years in reducing inflation to low and stable levels – the best contribution monetary policy can make to an economy ’ s long - run growth. over the shorter term, monetary policy stabilises inflation by countering fluctuations in demand growth and employment away from their longer - run trends. 5 with inflation expectations stabilised at low levels, and the associated gain in policy credibility, g wheeler, reflections on 25 years of inflation targeting, international journal of central banking, september 2015. bis central bankers ’ speeches the ability of monetary policy to