BSP Circular No. 632 (2008)
REDUCTION IN THE STATUTORY/LEGAL RESERVE REQUIREMENTS FOR PESO DEMAND, “NOW”, SAVINGS, TIME DEPOSIT LIABILITIES AND DEPOSIT SUBSTITUTES OF UNIVERSAL BANKS, COMMERCIAL BANKS, THRIFT BANKS, RURAL AND COOPERATIVE BANKS, AND QUASI-BANKS
(NAR) VOL. 20 NO.1 / JANUARY – MARCH 2009
[ BSP CIRCULAR NO. 632, S. OF 2008, November 19, 2008 ]
REDUCTION IN THE STATUTORY/LEGAL RESERVE REQUIREMENTS FOR PESO DEMAND, “NOW”, SAVINGS, TIME DEPOSIT LIABILITIES AND DEPOSIT SUBSTITUTES OF UNIVERSAL BANKS, COMMERCIAL BANKS, THRIFT BANKS, RURAL AND COOPERATIVE BANKS, AND QUASI- BANKS
The Monetary Board, in its Resolution No. 1448 dated 6 November 2008, approved the reduction in the statutory/legal reserve requirements for peso demand, “NOW”, savings, time deposit liabilities and deposit substitutes of universal banks, commercial banks, thrift banks, rural and cooperative banks, and quasi-banks, as follows: BANK/ACCOUNTS STATUTORY/LEGAL LIQUIDITY FINANCIAL RESERVES RESERVES INSTITUTION From To Universal - Demand 10% 8% 11% Banks/Commercial - Savings Banks - Time - Deposit Substitutes - “NOW” 9% 8% - Long-term 0% 2% 2% Negotiable CTDs Thrift Banks - Demand 6% 4% 2% - “NOW” - Savings - Time - Deposit Substitutes 2% 2% 0% - Long-term Negotiable CTDs Rural Banks- Demand 6% 4% Cooperative Banks - “NOW” - Savings 2% 1% 0% - Time - Long-term 2% 2% Negotiable CTDs Quasi Banks - Deposit Substitutes 10% 8% 11%Required reserves for peso-denominated Common Trust Funds (CTFs) and such other similarly managed funds, as well as those for Trust and Other Fiduciary Accounts— Others ( TO FA-Others) shall remain at current levels. These new reserve requirement ratios shall be effective starting with the reserve week beginning 14 November 2008. Adopted: 19 Nov. 2008 FOR THE MONETARY BOARD:
(SGD.) AMANDO M. TETANGCO, JR. Governor