In a speech delivered during the Post-State of the Nation Address Philippine Economic Briefing (PEB) in Laoag City, Ilocos Norte, Bangko Sentral ng Pilipinas (BSP) Governor Eli M. Remolona Jr. underscored the BSP’s commitment to further championing its sustainability agenda in the financial system.
“We want to strengthen our programs for sustainability, but we want sustainability with a heart,” the BSP governor stated in his opening remarks. He also underscored that these measures should not be at the expense of the poor.
“Strategies should consider not only the risks but also green economic opportunities for vulnerable sectors such as electric tricycles, pay-as-you-go solar, and other small-scale projects,” he added.
Photo shows BSP Governor Eli M. Remolona, Jr. (fourth from left) as he joins a panel discussion during the Post-State of the Nation Address Philippine Economic Briefing in Laoag City. Joining him in the panel are (from left:) Department of Budget and Management (DBM) Undersecretary Margaux Marie V. Salcedo, DBM Secretary Amenah F. Pangandaman, Finance Secretary and Monetary Board Member Benjamin E. Diokno, NEDA Undersecretary Carlos Bernardo O. Abad Santos, and Philippine Chamber of Commerce and Industry-Ilocos Norte President Atty. Cherrie Grace P. Bareng-Asistin.
Adverse effects of climate change and social risks on financial stability
The BSP governor emphasized that the central bank recognizes possible adverse effects of climate and other environmental and social risks on price and financial stability.
Placing this into practice, the BSP is implementing the Sustainable Central Banking (SCB) strategic program that aims to promote sustainability principles and practices in its policies and operations and the financial system.
The BSP also mobilizes funds toward green projects and implements sustainability-related guidelines to strengthen the capacity of banks to manage environmental and social risks and unlock financing for green or sustainable projects, including transitional activities for decarbonization.
This forms part of the central bank’s 11-point strategy under the SCB Program.
For his part, Finance Secretary and Monetary Board Member Benjamin E. Diokno stated in his keynote speech that the Philippines has opened the renewable energy sector to full foreign ownership, which is expected to provide more high-quality and green jobs for all Filipinos.
The Ilocos region is a promising location for sustainability-related initiatives. It is home to the largest wind energy farm in the country, Burgos Wind Farm, which has a capacity of 150 megawatts (MW).
The region also has two other wind energy farms, one of which is the Bangui Wind Farm, the first to operate in Southeast Asia. The region’s three wind projects — in the municipalities of Bangui, Burgos, and Pagudpud — provide a total of 282.9 MW of wind energy capacity.
During the panel discussion on the country’s fast-growing and forward-looking economy, BSP Governor Remolona also provided updates on the Ilocos region and the country’s economic outlook, together with Department of Budget and Management (DBM) Secretary Amenah F. Pangandaman, Finance Secretary Diokno, National Economic and Development Authority (NEDA) Undersecretary Carlos Bernardo O. Abad Santos, and the Philippine Chamber of Commerce and Industry-Ilocos Norte led by President Atty. Cherrie Grace P. Bareng-Asistin.
Panel discussions on infrastructure and industries were also held
During the same event, the organizers also featured two other panel discussions, one of which was on infrastructure and attended by Department of Public Works and Highways Secretary Manuel M. Bonoan, Department of Transportation Secretary Jaime J. Bautista, Department of Energy Undersecretary Rowena Cristina L. Guevara, Department of Information and Communications Technology Secretary Ivan John E. Uy, and Public-Private Partnership Center Executive Director Ma. Cynthia C. Hernandez.
Another panel on industries, services, and job opportunities was conducted with Department of Labor and Employment Secretary Bienvenido E. Laguesma, Department of Trade and Industry Secretary Alfredo E. Pascual, Department of Tourism Undersecretary Mae Elaine T. Bathan, Department of the Interior and Local Government Undersecretary Marlo L. Iringan, and Department of Agriculture Undersecretary Mercedita A. Sombilla as panelists.
Panelists from the private sector included AC Energy Corporation Executive Director for Corporate Finance Juan Martin L. Syquia, and Nueva Segovia Consortium of Cooperatives CEO Divina C. Quemi.
DBM Undersecretary Margaux Marie V. Salcedo and DOF Undersecretary Atty. Maria Luwalhati C. Dorotan-Tiuseco moderated the sessions.