TAGAYTAY – The Bangko Sentral ng Pilipinas (BSP) said banks remain optimistic with growth projections in assets, loans, and deposits.
In a media information session over the weekend, BSP deputy governor Chuchi Fonacier said that based on the latest banking sector outlook survey, respondent banks are optimistic that they will post improved loan quality, accompanied by high loan loss provisioning in 2024.
"Moreover, respondent banks indicated their intention to maintain capital and liquidity buffers at levels higher than domestic and global standards to promote institutional stability," she said.
Fonacier said the Philippine banking system remains fundamentally sound and stable evidenced by the robust growth in assets, loans, deposits, and earnings, as well as strong key financial indicators.
Moving forward, Fonacier said the BSP will launch several initiatives to further advance the institutional stability and financial sector resilience agenda.
According to Fonacier, the BSP is currently preparing the National Risk Assessment on Money Laundering/Terrorist Financing.
The final report is expected to be released in 2025.
Aside from this, the official said that for this year, part of the BSP's supervisory agenda is the operationalization of an enhanced resolution framework, which will be accompanied by strengthened macro-prudential oversight, and enhanced stress testing, as well as a thematic review of key risk areas.
"When I mention about thematic review, we focus on a particular area of operation of a bank, and that will be reviewed. That's the main focus for the on-site visit when I say thematic review," she said.
Fonacier said that for 2024 to 2029, the BSP will also collaborate with concerned stakeholders on the development of the financial services’ cyber resilience plan. (PNA)
