
established on 3 July 1993 pursuant to
the provisions of the 1987 Philippine
Constitution and the New Central Bank
Act of 1993

BSP enjoys fiscal and administrative
autonomy
from
the
National
Government in the pursuit of its
mandated responsibilities.

Maintain price stability conducive to a
balanced and sustainable economic
growth.

Promote and preserve monetary stability
and the convertibility of the national
currency.

The BSP provides policy directions in the
areas of money, banking and credit.

It supervises operations of banks and
exercises regulatory powers over nonbank financial institutions with quasibanking functions.
Liquidity Management
 Currency issue
 Lender of last resort
 Financial Supervision
 Management of foreign currency
reserves
 Determination of exchange rate policy
 Other activities

1.
Issue rules and regulations it considers
necessary for the effective discharge of
the responsibilities and exercise of the
powers vested in it;
2. Direct the management, operations,
and administration of Bangko Sentral,
3.Establish
a
human
resource
management system which governs the
selection, hiring, appointment, transfer,
promotion, or dismissal of all personnel;
4.Adopt an annual budget for and
authorize such expenditures by Bangko
Sentral
5. Indemnify its members and other officials
of Bangko Sentral, against all costs and
expenses reasonably incurred
 BSP
Initiatives on Microfinance
To provide the enabling policy and
regulatory environment,
To increase the capacity of banking
sector on microfinance operations
To advocate the development of
sound and sustainable microfinance
operations.
 Anti-Money Laundering
 Financial Literacy

Economic Information
› enhance public awareness on the role of
the BSP in the Philippine economy, and
help manage inflation expectations and
reputational risks.
› The BSP initiatives to improve the Overseas
Filipinos’ (OFs) remittance environment
 Improving access to financial services
 Encouraging OFs and their families to
increase savings and investment
 Promoting financial learning among OFs
and their beneficiaries

The primary objective of BSP's monetary
policy is to promote a low and stable
inflation conducive to a balanced and
sustainable economic growth. The
adoption
of
inflation
targeting
framework for monetary policy aimed at
achieving this objective.
1. Open Market Operations
 2. Acceptance of fixed-term deposits
 3. Standing Facilities
 4. Reserve requirements

› regular or statutory reserves
› liquidity reserves

The Monetary Board decided to keep the BSP’s
key policy interest rates steady at 4 percent for
the overnight borrowing or reverse repurchase
(RRP) facility and 6 percent for the overnight
lending or repurchase (RP) facility. The interest
rates on term RRPs, RPs, and special deposit
accounts (SDAs) were also left unchanged.

The Inflation Target
› is an approach to monetary policy that
involves the use of a publicly announced
inflation target set by the Government,
which the BSP commits to achieve over a
two-year horizon
Rediscounting
 Overnight Clearing Line
 Emergency Loans

Lending Rates
 Credit Information System (CRIS)
 Electronic Rediscounting System
 Credit Surety Fund Program
