Casiño calls for amendments in BSP charter
A LAWMAKER challenged colleagues in the Lower House to amend the Bangko Sentral ng Pilipinas (BSP) charter to prohibit the president and other finance officials from lending public funds to foreign banks and financial institutions like the International Monetary Fund (IMF) to the prejudice and detriment of local enterprises.
Partylist Rep. Teddy Casiño said he will lead efforts in the House to amend the BSP Charter to make it “more responsive to the needs of the local economy.”
“As it is, our finance officials borrow and lend money without even consulting Congress who eventually is left holding the bag. This should stop. This is public money and the people should have a say how it is to be used,” he stressed.
Calling the plan a “harebrained idea” and the “handiwork of Ivy-league bright boys in the BSP who are salivating for positions in the IMF, WB and the ADB,” Casiño said the .3% interest to be earned from the IMF is miniscule compared to rates normally lent to local enterprises, government agencies or local government units.
“Dapat itigil na ng administrasyon ang pagpapapogi sa mga dayuhan habang naghihirap ang taumbayan. Don’t they know that our national debt just breached the P5 trillion level early this year, meaning we are more in debt than ever and they still want to lend a billion dollars?” said Casiño.
“Why on earth would we lend money when we ourselves need it? In fact, more than 700,000 micro, small and medium enterprises in the country plus millions in the informal sector are so desperate for credit that they have to borrow money from usurious 5/6 lenders due to the lack of proper credit facilities. Dapat ipautang na lang yang perang yan sa maliliit nating negosyante,” said the progressive solon.
‘The reserve fund can also be used to finance common production facilities for industries, postharvest facilities, manufacturing facilities, even renewable energy systems that would boost the local economy,” he said.
“If we lend the money to our local enterprises or to the government, the BSP would get higher returns plus help boost the local economy. Its really more sensible, if not more fun, to lend to our fellow Filipinos,” he said.