The next governor of the Bangko Sentral ng Pilipinas should carry on the policies and regulations championed by the late Nestor Espenilla Jr., Malacañang said on Monday.
Appointed by President Rodrigo Duterte to lead the central bank in May 2017, Espenilla died on Saturday after battling tongue cancer for more than a year.
The President, who has yet to name Espenilla’s successor, is scheduled to visit the late technocrat’s wake this week.
In a Palace press briefing, Presidential Spokesman Salvador Panelo said the President will most likely look for a permanent replacement of Espenilla. He, however, has no idea who will the President pick.
Espenilla’s immediate predecessor, former BSP Gov. Amando Tetangco Jr. said the head of the central bank must possess a “very good grasp of macroeconomics particularly monetary policy and a good understanding of banking supervision.”
“Being a BSP governor is a multi-faceted job and it would require not only technical competence, which is very important, but would also require the skill to deal with people properly,” Tetangco, who has served two terms as BSP governor, said.
For his part, former BSP Gov. Jose Cuisia Jr. also believes that the successor of the late central bank chief should be capable of continuing Espenilla’s reform initiatives.
“I personally think it would be good if the President appoints an insider. They have very competent people there who can do a great job as BSP governor,” he said.
Asked if the President would consider the remarks of the former BSP governors and appoint an insider, Panelo said: “That’s the judgment call of the President, it’s his prerogative.”
For Panelo, the next successor should be a person of “integrity and competence” – something that the President considers in finding for prospects.
The Palace official expressed optimism that the next chief to lead the central bank would be able to continue Espenilla’s work.
“I suppose it’s the continuity of the work done by the previous governor,” Panelo said.
With Espenilla at the helm, the BSP was able to pursue major reforms in monetary, financial policies, and the organizational structure of the BSP, among others.
Under his leadership, a more inclusive and efficient financial system was also introduced in the country as Espenilla promoted the digitalization of the retail payment system.
Some of the possible candidates who would most likely take over Espenilla’s post are BSP deputy governors Diwa Guinigundo, Chuchi Fonacier, and its current officer-in-charge Cyd Tuano-Amador.
Monetary Board member and former Trade Secretary Peter Favila is also rumored to be in the running.
In 2017, Guinigundo lost to Espenilla during the replacement period for Tetangco.
Should the post go to either Amador or Fonacier, the BSP will have its first female governor.
Amador handles the corporate sector, Fonacier heads the financial supervision sector, while Guinigundo is in-charge of the monetary and economic division. All three are long-time central bankers.