The BSP said that given actions already taken by the US government to calm its own market and to a larger extent, the global market, it is closely monitoring developments in the global banking system.
“The Philippine banking system remains safe and sound. We have shown our resilience through the pandemic, and we continue to be strong in the face of the ongoing turbulence in the global markets,” said the BSP. The BSP, similar with all central banks, employ stress testing excercises to determine a bank’s health in terms of adequate capital and liquidity and the industry’s ability to withstand uncertainties and negative financial shocks.
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