BSP lowers reserve requirement ratios for banks, injecting 1.2% of 2024 GDP into the economy.

The Bangko Sentral ng Pilipinas (BSP) has lowered reserve requirement ratios (RRR) for various banks, injecting an estimated ₱310 to ₱330 billion into the economy, equivalent to 1.2% of the projected 2024 GDP. The RRR for large banks drops from 9.5% to 7%, while digital banks see a reduction to 4%. This move aims to stimulate loan demand and investment, though concerns about financial stability, particularly for smaller banks, have been raised.

September 22, 2024
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