benjamin e diokno : the bsp ’ s role in economic recovery and lessons in monetary policy speech by mr benjamin e diokno, governor of bangko sentral ng pilipinas ( bsp, the central bank of the philippines ), at kapihan sa manila bay, 5 january 2021. * * * ladies and gentlemen, good morning. the bangko sentral ng pilipinas ( bsp ) welcomes this opportunity to discuss its role in cushioning the adverse impact of the covid - 19 crisis. we are indeed pleased to help the national government in steering the country towards a gradual and sustainable path to recovery. i will also share key lessons in monetary policy, which, i believe, will serve the country in good stead moving forward. the shock from the covid - 19 pandemic is unprecedented. after exhibiting 84 consecutive quarters of growth, real gdp declined by 0. 7 percent year - on - year for q1 2020. by the second quarter of 2020, real gdp contracted by 16. 9 percent. in q3 2020, real gdp also declined but at a slower rate of 11. 5 percent. year - to - date, real gdp growth is at – 10. 0 percent. the slower pace of gdp contraction is expected to continue in q4 2020. allow me to point out that crafting swift, timely and well - calibrated policy responses requires a clear understanding of the nature of the shock. what we are experiencing is a public health crisis. as such, the primary response of policymakers should be towards containing the virus and providing adequate care for the infected. the shock called for a bold and coordinated response from the national government. to mitigate adverse effects of the pandemic, fiscal and monetary policy authorities must play distinct yet complementary roles. in particular, fiscal policy plays a crucial role as it can respond in a more targeted manner to the most affected sectors of the economy. meanwhile, the role of monetary authorities has been to ensure the proper functioning of credit and financial markets, and that there is ample liquidity to support domestic demand. given the abruptness and scale of the pandemic, the bsp deemed it necessary to provide additional emergency support to the government ’ s broad - based health and fiscal programs related to covid - 19. the bsp has deployed a wide range of monetary instruments and extraordinary liquidityenhancing measures to support the economy. bsp reduced the policy rate by a cumulative 200 basis

amando m tetangco, jr : transforming potential into reality speech by mr amando m tetangco, jr, governor of the central bank of the philippines ( bangko sentral ng pilipinas ), at the baiphil's induction of officers and general membership meeting, manila, 15 july 2009. * * * distinguished officers and members of the bankers institute of the philippines led by incoming president susan uranza and outgoing president lydia king, sec chairman fe barin, mbm ignacio bunye, pm cesar virata, fellow bankers, colleagues from the bsp, special guests, good afternoon! on behalf of the bangko sentral ng pilipinas, i congratulate baiphil ’ s new set of officers led by president susan uranza. ladies and gentlemen, let us wish them well and cheer them on with a long round of applause! to the bangko sentral ng pilipinas, the baiphil is a long - standing partner in strengthening the philippine banking sector by enhancing productivity through research, information exchange and education. indeed, through its continuous development and conduct of appropriate training programs, baiphil has been upgrading the knowledge and expertise of banking professionals. in other words, baiphil plays a major role in keeping philippine bankers abreast of global bank standards and practices. this is a very important function. the banking sector is the pillar of our financial system as it remains the primary source of funds for our business sector, drawing, in turn, from funds entrusted to it by investors, creditors, and depositors. it is essential therefore that our bankers are able to adapt and respond appropriately to a constantly changing and ever challenging environment. this is particularly true today when the global financial landscape continues to be redefined by the ongoing financial crisis and the most severe global economic downturn in decades. new challenges have emerged, even as new opportunities surface. it is crucial, therefore, that bankers should be ready to take on these new challenges and opportunities. for instance, it is important to note that while other countries struggle with tight credit, our banking sector remains liquid and able to sustain lending at double - digit growth rates. as of may 2009, outstanding loans of commercial banks, including reverse repurchase agreements, reached p2. 1 trillion, over 10 % higher than the year - ago level. this is a positive trend that indicates continuing support from the banking sector for productive activities that sustain economic growth. having said this, banks must make sure