The Bangko Sentral ng Pilipinas ( BSP ) is the independent cardinal pecuniary authorization of the Republic of the Philippines. Established under the New Central Bank Act of 1993. the BSP is chiefly mandated by jurisprudence to guarantee the care of monetary value stableness conducive to a balanced and sustainable growth of the economic system.
The Monetary Board is the highest policy-making organic structure in the BSP. It consists of five full-time private sector representatives and two authorities representatives. viz. . the BSP Governor. who is beside the Chairman? and a cabinet secretary.
Monetary Board meets at least one time every hebdomad. Furthermore. the Monetary Board meets on a regular basis every six hebdomads to reexamine. discuss and make up one’s mind on the appropriate pecuniary policy stance of the BSP in order to maintain rising prices within the mark.
Degree of IndependenceUnder Section 1. Article I of the New Central Bank Act of 1993. it is mandated that the cardinal pecuniary authorization shall work and run as an independent and accountable organic structure corporate in the discharge of its duties regarding money. banking and recognition. In line with this policy. the BSP. while being a government-owned corporation. enjoys financial and administrative liberty. The BSP is independent of the financial sector. even as the authorities may be represented in the Monetary Board inasmuch as the jurisprudence allows the President of the Philippines to name any cabinet secretary to be the other authorities representative. The BSP has the independency and flexibleness needed in the discharge of its responsibilities. While the BSP has financial liberty. it realises the importance of organizing closely with the National Government ( NG ) to back up the wide economic ends of the state.
The powers and maps of the BSP are exercised by the Bangko Sentral Monetary Board composed of seven members appointed by the President of the Philippines. The Governor of the BSP is the Chairman of the Monetary Board. The Governor. as the Chief Executive Officer of the BSP. directs and supervises the operations and internal disposal of the BSP.
