The Bangko Sentral ng Pilipinas (BSP)-backed Bank Deposits Secrecy Bill has been included under President Duterte’s Legislative Priorities for the 18th Congress, according to the Presidential Legislative Liaison Office.
The Office of the President (OP) has also informed the BSP that it has referred the Bank Deposits Secrecy Bill to the Legislative-Executive Development Advisory Council for prioritization and inclusion in the Common Legislative Agenda for the Executive and Legislative.
The OP’s actions were in response to separate communications sent by the BSP requesting that said bill be included in the list of priority bills and be certified as urgent by the President.
“We are glad that the President has identified the Bank Deposits Secrecy Bill as a legislative priority. In view of this, the BSP will further step up its efforts to coordinate with Congress and other stakeholders for the immediate passage of the measure,” said BSP Governor Benjamin Diokno.
In the House of Representatives, the BSP is in constant communication with the Committee on Banks and Financial Intermediaries for the interpellation of the bill.
Meanwhile, the BSP has touched base with various offices of Senators for possible sponsorship and conducted briefings in this regard.
Moreover, the BSP was furnished a copy of the joint statement by 22 private organizations, dated May 26, 2021, expressing their full support to the enactment of the Bank Deposits Secrecy Bill.
This was followed by a letter to the President by Philippine and foreign business groups calling for the passage of the bill to support economic recovery and higher growth.
The Bank Deposits Secrecy Bill will equip the BSP with tools necessary to prove the commission of fraud, serious irregularity or unlawful activity if reasonable basis exists.
Particularly, this will allow BSP to effectively fulfill its mandate and enable it to have a holistic examination of a banking institution so that certain risk areas will be considered in assessing a bank’s financial condition, risk management and corporate governance.
The results of the inquiry or examination by the BSP shall not be arbitrarily shared or disclosed but proposed to be for the exclusive use of the BSP. Nevertheless, the BSP may share the results of its examination with the Courts and other regulators only if it is necessary to prevent or prosecute an offense or crime.
“This enhances the BSP’s capacity to fulfill its mandate of promoting the safety and soundness of the banking system,” Diokno explained.
“It also enables compliance with international standards on transparency that will also bolster the public and the global community’s trust in the domestic banking system.” – Jimmy Calapati
