Phased Lifting of the Moratorium on the Grant of New Banking License or Establishment of New Domestic Banks

February 15, 2016BSP CIRCULAR NO. 902-16SUBJECT : Phased Lifting of the Moratorium on the Grant of New Banking License or Establishment of New Domestic Banks Pursuant to Monetary Board Resolution No. 114 dated 21 January 2016 approving the phased lifting of the moratorium on the grant of new banking license or establishment of new domestic banks, the following regulations are hereby issued: Statement of Policy. It is the policy of the Bangko Sentral to promote a competitive banking environment while preserving its basic thrust of encouraging mergers and consolidations. With the evolving policy reforms, integration of financial markets and greater use of technology in finance, banks need to reposition themselves to maintain a competitive stance in the industry and remain responsive to the needs of all stakeholders through the efficient delivery of financial services and products and expanded market reach.Towards this end, the suspension of the grant of new banking licenses or the establishment of new banks under Subsection X102.2 of the Manual of Regulations for Banks (MORB) is hereby lifted under a two-phased approach....