The Bangko Sentral ng Pilipinas (BSP) commends the Philippine Congress for passing amendments to Republic Act No. 10000 or the Agri-Agra Reform Credit Act of 2009, which will expand access to finance for farmers, fisherfolk, and micro, small, and medium enterprise (MSME) in the agriculture, agribusiness, and related sectors.
“The Agri-Agra bill will strengthen rural development through a holistic approach in addressing the financing needs of the agricultural financing ecosystem,” BSP Governor Benjamin E. Diokno said.
A priority legislative measure of the BSP, the proposed amendments to the Agri-Agra bill seeks to improve the creditworthiness of agricultural workers and their enterprises by enhancing their capabilities, modernizing their business operations, and integrating them into profitable domestic and export-oriented value chains.
The House of Representatives approved its version (House Bill No. 6134) on third and final reading 2020, while the Senate approved its version (Senate Bill No. 2494) on February 2 this year. Next in the legislative process are bicameral proceedings.
Last week, the Congress passed two landmark legislations, the PDIC Charter amendments and the Financial Consumer Protection Act.
Both bills will be enrolled and transmitted to Malacañang for the President’s signature.
BSP said the PDIC Charter amendments, sponsored by Senator Sonny Angara, will strengthen cooperation between PDIC and BSP to the benefit of depositors.
The FCPA, through Sen. Grace Poe, will empower regulators like the BSP to better protect the banking public and promote financial consumer welfare.
Benjamin Diokno, BSP Governor, earlier called on the 18th Congress to enact key structural reforms that will support the country’s continued recovery and sustain inclusive growth under the post-pandemic economy.
“The BSP’s legislative agenda aims to strengthen the banking system, foster financial inclusion, enhance the delivery of and address social issues related to access to financial products and services, and support economic growth.”
Among these crucial legislative measures are the proposed Financial Products and Services Consumer Protection Act, the Bank Deposits Secrecy Bill, amendments to the Agri-Agra Law, amendments to the charter of the Philippine Deposit Insurance Corporation (PDIC), and the Bank Accounts and E-wallets Regulation Bill.
To protect people from falling prey to various cybercrime schemes, the BSP also supports the legislative measure that will regulate and prohibit the use of bank accounts, e-wallets, and other financial accounts for criminal activities. Should this measure become a law, it will strengthen consumer protection and inspire trust and confidence in the financial system.
“We should not let the COVID-19 pandemic derail our long-term goals. With or without crisis, we should continue to pursue structural reforms that would put the Philippines not just on the road to pre-crisis growth but on a sustainable path of development,” the Governor previously said.
