To increase the liquidity reserve requirement against peso demand, savings, time deposit and deposit substitute liabilities
CIRCULAR NO. 286 Series of 2001
The Monetary Board, in its Resolution No. 1175 dated July 26, 2001, increased the liquidity reserve requirement against peso demand, savings, time deposit and deposit substitute liabilities of universal banks (UBs) and commercial banks (KBs) and non-bank financial intermediaries with quasi-banking functions (NBQBs) by two (2) percentage points from 7% to 9%. However, their corresponding statutory reserve requirements remain unchanged at 9%.
The required liquidity reserves may be maintained in the form of short-term market yielding government securities purchased directly from the Bangko Sentral Ng Pilipinas (BSP) – Treasury Department, pursuant to Circular 10 dated December 29, 1993.
This Circular shall take effect on July 27, 2001.
FOR THE MONETARY BOARD:
RAFAEL B. BUENAVENTURA Governor
More in BSP Circulars
- Amending Circular No. 1369(BSP Circular No. 45)
- Amendments to Foreign Exchange Transactions(BSP Circular No. 838)
- Prompt Corrective Action Framework(BSP Circular No. 523)
- Guidelines issued in the implementation of the pertinent provisions of the Rural Banks Act of 1992(BSP Circular No. 1369)
- Regulations on the Collection by Banks/NBQBs of Fees in Connection with Loans Sourced from Trust Funds Managed by their Trust Department(BSP Circular No. 541)
- Guidelines on the Conduct of Stress Testing Exercises(BSP Circular No. 989)
- Check clearing rules for thrift banks authorized to accept demand deposits(BSP Circular No. 163)
- Adoption of the Principles for Financial Market Infrastructures(BSP Circular No. 1126)
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