BAP prexy vows to strengthen working ties with government

CEBU, Philippines —  The Bankers Association of the Philippines (BAP) vowed to work closely with government agencies in promoting stability in the financial sector amid the challenges.

Newly elected BAP president Antonio C. Moncupa Jr., said BAP will tighten its working partnership with Bangko Sentral Ng Pilipinas (BSP), the Securities and Exchange Commission (SEC), other regulatory agencies and with Congress “to contribute to our shared interest for an efficient, strong, and well-functioning banking system.”

“With the COVID-19 pandemic, geopolitical tensions, US rate hikes and tapering, global inflation, and a new Philippine president, we have some very interesting days ahead,” said Moncupa, who is the President and CEO of EastWest Banking Corporation.

Moncupa will succeed Jose Arnulfo A. Veloso, as BAP President.

“Through the years, our agenda in the BAP is to seek better banking efficiency, through modernization that we now call digitalization, better fixed income, foreign exchange and derivatives markets, and safe and trustworthy banking. These are necessary preconditions that improve commerce, create jobs, and increase economic output.” Moncupa said in his acceptance speech.

BAP held its 2022 annual meeting on March 21 to reflect on the achievements of the organization and determine its plans to promote a banking industry that is responsive to the challenges and developments of the future.

Veloso, the outgoing President of the BAP, highlighted the banking industry’s resilience in light of the ongoing economic situation.

“The year 2021 delivered a surprise as the economy recovered from its negative domestic growth, ending the year positively with a 5.6 percent growth in GDP,” Veloso said.

“The banking industry performed even better than expected coming out from the COVID-19 pandemic,” noted Veloso, adding that total assets of banks stood at P20.8 trillion for 2021, and banks recorded a net profit of P224 billion. There is more than enough liquidity to support the borrowing needs of the country and its people as we gear up towards a full economic recovery.

“These demonstrate the banking sector’s resiliency and preparedness built through the years and having survived a number of economic, financial and even geopolitical crises,” he said.

Benjamin P. Castillo, Managing Director of the BAP, emphasized the industry’s proactiveness in serving the interests of the banking stakeholders.

“We proactively worked closely with banking regulators and government agencies, media groups, and social media personalities to keep the public informed and educated on the latest trends and developments in cybersecurity,” Castillo said.

On promoting sustainable finance, he remarked that local banks have issued at least $1.15 billion of green, social, and sustainability bonds to encourage the financing of green projects.

“Incorporating sustainability shall promote long-term economic growth and development, which ultimately helps improve the quality of life of the Filipino people and ensure ecological integrity in the country,” he added.

“The BAP also elected its new set of officers during the annual meeting.

BAP member-banks also elected the following executives as officers: First Vice President - Cecilia C. Borromeo, President & CEO, Land Bank of the Philippines; Second Vice President - Hans B. Sicat, Managing Director/Country Manager, ING Bank NV; Secretary - Sanjiv Vohra, President & CEO, Security Bank Corporation; Treasurer - Jose Teodoro K. Limcaoco, President & CEO, Bank of the Philippine Islands.