Updated business continuity plan

MEMORANDUM Series of 2003

TO : All Banks

All Non-Bank Financial Institutions with Quasi-Banking Functions (NBQBs), Investment Houses (IHs) with Trust Functions, Non-Stock Savings and Loan Associations (NSSLAs) and All Other Non-Bank Financial Institutions (NBFIs) which are Subsidiaries or Affiliates of Banks or NBQBs.

Subject : Updated Business Continuity Plan

Under Circular Letters dated 26 September 2001 and 3 October 2001, all banks NBQBs, IHs, NSSLAs and NBFIs were required to submit to the Bangko Sentral ng Pilipinas their updated business continuity plans taking into account possible contingencies. Said business continuity plan must be duly approved by the board of directors of each institutions.

The overall goal of the business continuity plan must be: (1) to ensure that there will be minimal disruption of basic services; (2) to minimize financial losses through lost business opportunities or asset deterioration; and (3) to ensure resumption of normal operations in the shortest possible time. The latest uncertainties happening in the region and new threats brought about by recent developments in the Middle East should be considered. A summary of the substantive details of a business continuity plan which may serve as guide for financial institutions to consider is shown in Annex A.

In view of recent developments, financial institutions should immediately furnish BSP their updated business contingency plans through the appropriate supervising and examining department within fifteen (15) days from date hereof.

This shall be accompanied by a certification by the President or equivalent rank of such institutions to the effect that their updated business continuity plans, duly approved by the Board of Directors, have been tested and are in place.

This Memorandum shall take effect immediately.

AMANDO M. TETANGCO, JR. Deputy Governor