The BSP’s initiatives to address the Covid-19 crisis
AMID the current global health emergency, the Bangko Sentral ng Pilipinas (BSP) has promptly acted to implement a package of extraordinary measures that would help cushion the pandemic’s effect on the economy and alleviate the plight of the Filipino.
Citing the national government’s 4- pillar socioeconomic strategy that aims to reduce the impact of the crisis, BSP Governor Benjamin Diokno said the BSP has focused on doing its part in contributing to the government’s overall stabilization efforts.
“The BSP has responded swiftly and decisively to mitigate economic and financial fall- out from the Covid- 19 pandemic through its monetary instruments and regulatory relief measures,” Diokno said.
The 4-pillar socioeconomic strategy, which also seeks to ensure economic recovery post- Covid, includes the following pillars: ( 1) emergency support for vulnerable groups, ( 2) resources to fight Covid- 19, ( 3) fiscal and monetary actions, and ( 4) an economic recovery plan.
“Our focus is ensuring that we pursue all necessary monetary actions under the third pillar to guarantee that we are able to deliver on our mandate of promoting price and financial stability,” Diokno explained.
He added that the BSP has decidedly been proactive in easing monetary policy settings, providing liquidity to the financial system, and relaxing regulatory rules. This is in pursuit of the BSP’s policy measures to support credit activity and domestic demand, as well as ensure the continuous and smooth functioning of domestic financial markets.
“All these measures show the BSP’s unwavering commitment and readiness to deploy its full range of instruments to provide liquidity and ensure an efficient financial system,” Diokno said.