BSP panel eyes ways to balance risks to banks

A board-level committee under the Bangko Sentral ng Pilipinas (BSP) is looking at various measures to balance possible “systemic risks” to banks brought about by the global recession. In a statement on Wednesday, the central bank said its Financial Stability Policy Committee met to assess any possible buildup of so-called systemic risks in the financial market. During the meeting, BSP Governor Benjamin Diokno was quoted as saying that the possibility of these risks materializing as a result of the global recession has been flagged by various authorities and multilateral agencies. “Systemic risks may seem like a high-level concept, but it really just means that financial authorities are looking for any sign that the operations of the financial market may be impaired to the detriment of the general public,” he said, adding that “pursuing financial stability requires us to manage systemic risks and we do this because our primary goal it to protect the welfare of the public.”

Source: TheManila Times