• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar

Asean Breaking News

Latest Stories from ASEAN and Around the World

  • Submit
  • Disclaimers
  • About
  • DMCA
  • Privacy Policy
  • Contact
  • Show Search
Hide Search

You are here: Home / Rate, RRR cuts inevitable — Diokno

Rate, RRR cuts inevitable — Diokno

· April 29, 2019 ·

Rate, RRR cuts inevitable — Diokno

Lawrence Agcaoili

(The Philippine Star) – April 30, 2019 – 12:00am

MANILA, Philippines — The reversal of the tightening cycle and the reduction of the level of deposits banks are required to keep with the central bank are “inevitable,” according to the Bangko Sentral ng Pilipinas.

During the general membership meeting of the Financial Executives of the Philippines (FINEX) BSP Governor Benjamin Diokno said monetary authorities are determining the right timing for the reduction of interest rates as well as the reserve requirement ratio (RRR).

“Those two things are inevitable, reduction of the rates and reduction of the reserve requirement. They will come, it is just a matter of timing,” Diokno said.

The BSP raised rates by 175 basis points in five straight rate-setting meetings between May and November last year to prevent inflation from spiralling out of control.

Diokno also said the BSP is resuming the reduction in the RRR. The BSP aims to bring down the level of RRR to single digit by 2023.

“We have one of the highest reserve ratio in this part of the world. So its clear that we need to reduce that to be more competitive,” Diokno said.

To ensure continuity, Diokno said he has already named a replacement for BSP Deputy Governor Diwa Guinigundo who is scheduled to retire in July. Guinigundo currently heads the BSP’s Monetary and Economics Sector.

“I already announced that there is going to be a change in leadership in the BSP as Deputy Governor Diwa Guinigundo is retiring. I already named his replacement to remove any uncertainty so that is a good signal. Continuity and expertise,” Diokno said.

Francisco Dakila, Assistant Governor and head of the BSP’s monetary policy sub-sector, is set to replace Guinigundo who has served the central bank for more than four decades.


  • Interest rate cut will see Aussie dollar fall well below 70 US cents, economists say
  • UPDATE 3-Russia lowers key rate to 6.5%, signals future cuts
  • Monetary Policy | RBI pause is puzzling, but a rate cut is not far away
  • HDFC Bank cuts MCLR by up to 15 bps
  • Surprise rate cut in Mexico 'no use' for growth in short term
  • Rate cut was expected as it was required: Ashima Goyal
  • Russia seen cutting rates on Friday, forecasts vary: Reuters poll
  • Russia likely to cut key rate to 6% in 2020, rouble seen easing: Reuters poll
  • As Fed reiterates rate pause, forecasts likely to be blown off course
  • RBI right to cut rates now: Sajjid Chinoy, JPMorgan

Filed Under: Business bangko sentral ng pilipinas, benjamin diokno, why rate cut by rbi, why rate cut, penalty rates cut who does it affect, what penalty rates were cut, why penalty rates were cut, why rba cut interest rate, why rba cut cash rate, why is barbershop the next cut rated pg 13, venom rated r cut, tax cut approval rating, tax cut interest rate, tax cut rates, trump tax cut top rate, r rated venom cut, top rated cord cutting options, when will rba cut rates, debt-laden homeowners may spark interest rate cut, fat cutting rate, grass cutting rates in south africa, grass cutting rates uk, grass cutting rate malaysia, tree cutting rates, 50 bps rate cut means

Primary Sidebar

RSS Recent Stories

  • Sara Ali Khan flaunts her bold style in a surprisingly modest dress. See pics
  • Audiences worldwide keep ‘Frozen 2’ on top: The hit film surpassed 10 million ticket sales in Korea on Saturday
  • Several gov’t institutes get worst rating for corruption
  • Assembly faces turmoil as LKP reps backtrack
  • Trump warns Kim not to ruin their ‘special relationship’
Copyright © 2019 Asean Breaking News. Power by Wordpress.