MANILA, Philippines — The Bangko Sentral ng Pilipinas (BSP) is looking at further expanding the list of eligible investments to help banks comply with the mandated threshold for agriculture and agrarian reform loans. BSP Governor Benjamin Diokno said the regulator is looking at including the issuance of green bonds by banks as a way of complying with Republic Act 10000 or the Agri-Agra Reform Credit Act of 2009. The BSP chief said the issuance of bonds for specific depressed areas could also be considered as a form of compliance with the mandated threshold for agri-agra loans. Banks continued to fall short of the mandated threshold for agriculture and agrarian reform loans despite the 18.9 percent increase in the first quarter. BSP is pushing for the amendments to the agri-agra law as it continues to punish banks through penalties for failing to meet the thresholds of the mandated lending.

Source: Philippine Star July 14, 2019 17:03 UTC