The Bangko Sentral ng Pilipinas (BSP) is calling on the 18th Congress to enact key structural reforms that will support the country’s continued recovery and sustain inclusive growth under the post-pandemic economy.
Benjamin Diokno, BSP Governor, said the BSP’s legislative agenda aims to “strengthen the banking system, foster financial inclusion, enhance the delivery of and address social issues related to access to financial products and services, and support economic growth.”
Among these crucial legislative measures are the proposed Financial Products and Services Consumer Protection Act, the Bank Deposits Secrecy Bill, amendments to the Agri-Agra Law, amendments to the charter of the Philippine Deposit Insurance Corporation (PDIC), and the Bank Accounts and E-wallets Regulation Bill.
The proposed Financial Products and Services Consumer Protection Act, also known as the Financial Consumer Protection (FCP) Act, aims to put in place appropriate measures to consolidate the principles of financial inclusion, financial education, good governance, and effective supervision in one law to protect the interest of financial consumers.
“The enactment of the FCP Act is envisioned to provide an armor of protection to all financial consumers,” Diokno said during a recent Senate hearing.
“It will ensure that relevant government institutions and financial regulators will be fully equipped with the legal authority to enforce prudent, responsible, and customer-centric standards of business conduct.”
The BSP also supports the Bank Deposits Secrecy Bill, which if passed, will equip it with the necessary tools to prove the commission of fraud, serious irregularity, or unlawful activity, when reasonable ground is found to exist in the exercise of its supervisory powers, as well as in its investigation of closed banks.
Diokno said the bill will also allow the BSP to holistically examine a banking institution to consider all risk areas in assessing a bank’s financial condition, risk management, and corporate governance.
Meanwhile, the bill proposing amendments to the Agri-Agra Reform Credit Act of 2009 aims to strengthen rural development and improve the well-being of agricultural and rural community beneficiaries by taking a holistic approach that considers the broader agricultural financing ecosystem and rural community development requirements.
