have had measurable effects, we study those effects. for much of the post - crisis period, our focus was on developing policy recommendations to address vulnerabilities made apparent by the crisis. now, however, with nearly all of the postcrisis reform agenda complete, the fsb needs to put more of our resources into identifying new vulnerabilities in a financial sector that continues to evolve and to studying the effects of the many reforms that have been enacted. let me start by discussing vulnerability assessment. the reforms that have been implemented over the past decade have changed the financial system for the better. however, that does not mean we are immune from future financial crises. it means that we have boosted the financial system ’ s resilience to some of the types of shocks and vulnerabilities that precipitated the crisis. to be sure, some of these measures, like higher bank capital and liquidity requirements, after effective against a wide range of shocks. however, we cannot be complacent and assume that we are safe from all shocks. as a result, the fsb has decided to undertake a review of its framework for assessing vulnerabilities to ensure that we are at the cutting edge of financial stability vulnerability assessment. this work will be undertaken by our committee charged with assessing vulnerabilities under the leadership of fsb vice chair klaas knot of the dutch national bank ( de nederlandsche bank ). this should be a framework that starts from first principles and benefits from substantial dialogue with nonbanks as well as banks, regulators, and other relevant official bodies. there is a lot that we can draw on. the crisis led to an explosion of work in this area aimed at improving the ability of authorities to identify financial vulnerabilities in order to be able to take appropriate action in a timely fashion. i trust that the framework will harness the strength of the broad and diverse membership of the fsb, that it will be forward looking, and that it will be flexible enough to handle a financial system that will continue to evolve over time. this will not be easy — developments like the emergence of crypto - assets may challenge any framework — but that makes the goal of a robust framework all the more important. evaluating the effects of reform finally, let me turn to the fsb ’ s evaluation of the effects of reforms that have been implemented. in the past few years, we have reached a point where many of the reforms have been

, the philippine banking system was the only one with a positive outlook from moody ’ s, from among the nearly 70 jurisdictions it rates. ladies and gentlemen, the philippine banking system is strong. our consolidated capital adequacy ratio is basel 3 compliant at 16. 1 percent. this is well - above the bsp regulatory threshold of 10. 0 percent and international minimum of 8. 0 percent. as of second quarter 2015, total deposit liabilities stood at p6. 8 trillion, 8. 2 percent higher than last year ’ s level. it cannot be overemphasized that a well - functioning banking system supports expansionary business activities and consumption spending. it is crucial to economic growth. at “ island bsp ” we practice and export good governance. we issued guidelines reminding board of directors of supervised financial institutions to exercise objective judgment and put strong systems of checks and balances in place. areas like independent director requirements, membership in board committees and specific duties and responsibilities of the board are covered. supervised entities are motivated to see that good governance works to their own benefit. never in the history of philippine central banking has there been a greater interface with the filipino public. the bsp is eager to push the island ’ s boundaries until they reach the peripheries through financial inclusion. the goal is to allow more people to save, to borrow for productive uses, avail of investment and insurance products, and send and receive payments securely and efficiently. for this purpose, the bsp adopts proportionate regulation. innovation and creativity of the private sector is encouraged as heavy handedness is not consistent with the goal of financial inclusion. access and usage are key. ladies and gentlemen, before the year 2000 there were no microfinance oriented banks. now 3, there are 173 banks with microfinance operations serving 1. 3 million microentrepreneurs. we also now have 531 operating micro - banking offices or mbos reaching over 337 municipalities. of these 337 municipalities, 64 have no bank except for an mbo. we have also leveraged on technology to increase financial access moody ’ s, standard and poor ’ s and fitch ratings. international monetary fund, world bank and asian development bank. as of june 2015. bis central bankers ’ speeches and usage. we expanded the virtual reach of banks through the e - money framework, allowing greater cost - effective financial access touch points. the video featured the credit surety fund. it provides an alternative to traditional collateral. once un