The Philippine STAR 09/19/2006

The Monetary Board (MB) of the Bangko Sentral ng Pilipinas (BSP) has approved two new circulars on how financial institutions (FIs) should manage market and liquidity risks, including interest rate risk. The guidelines are formulated to ensure that FIs have sufficient knowledge and skills to understand and effectively manage market and liquidity risks. These emphasize that the level of risk exposures undertaken by FIs and the proper management of these risks are primarily the responsibility of the FIs.

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The Philippine STAR 09/19/2006

The World Bank (WB) has expressed grave concern on the repeal of Executive Order (EO) 138 which was replaced by EO 558.

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By Des Ferriols
The Philippine Star 09/05/2006

The Bangko Sentral ng Pilipinas (BSP) has issued two major guidelines giving banks full control and accountability of their market and liquidity risks as the industry gears up for full compliance with the Basel II Convention.

Under the new guidelines, the BSP said it is not particularly concerned with the level of risks that financial institutions assume but they should have the ability and resources to manage these risks.

“Therefore, the BSP will not restrict the level of risks assumed by financial institution (FI) or the scope of its financial market activities so long as it is authorized to engage in such activities,” the BSP said in the statement of policy. [Read more...]