The Philippines will become a member of an elite group of less than 50 jurisdictions worldwide which report cross-border banking statistics to the Switzerland-based Bank for International Settlements as a part of the global database.
Testing and validation showed that the cross-border banking data maintained by the Bangko Sentral ng Pilipinas met the rigorous BIS standards for completeness and quality.
BIS general manager Agustin Carstens informed Bangko Sentral Governor Nestor Espenilla Jr. that “the BIS will formally add the Philippines as a reporting country for the locational IBS [international banking statistics] and start including Philippine data in the global aggregates” starting January 2018.
Carstens said “the participation of the Philippines in the IBS is a significant milestone [because] it confirms the international importance of the Philippine banking system. “
Espenilla said that “our inclusion into the elite group provides us with more granular cross-border banking data that would be very critical in formulating well-informed policies when and how they may be needed. The value to regulators of having such a view cannot be overemphasized in today’s market.”
Espenilla also said that “the benefits accrue the other way as well because our ability to provide high-quality data can only enhance the transparency of global transactions and funding flows. “
He said “the BSP is only too happy to contribute significantly to such an endeavor. “
Espenilla said “the BSP has been working diligently on instilling high-quality banking data and our inclusion as a BIS-reporting jurisdiction validates our efforts in meeting the international standards.”
The Bank for International Settlements is an international financial institution owned by central banks which “fosters international monetary and financial cooperation and serves as a bank for central banks”.
BIS carries out its work through meetings, programs and through the Basel Process – hosting international groups pursuing global financial stability and facilitating their interaction.
It also provides banking services, but only to central banks and other international organizations. It is based in Basel, Switzerland, with representative offices in Hong Kong and Mexico City.