Treasury Activities of BSP Supervised Financial Institutions (BSFIs) and Amendments to the Qualifications of Directors and Officers

November 2, 2015BSP CIRCULAR NO. 889-15SUBJECT:Treasury Activities of BSP Supervised Financial Institutions (BSFIs) and Amendments to the Qualifications of Directors and Officers The Monetary Board, in its Resolution No. 1692 dated 15 October 2015 and No. 1703.A.2 dated 22 October 2015, approved the following changes to the relevant provisions of the Manual of Regulations for Banks (MORB) and the Q-Regulations of the Manual of Regulations for Non-Bank Financial Institutions (MORNBFI) to incorporate guidelines governing treasury activities of BSFIs and amend the qualifications of directors and officers. SECTION 1. The following shall be included in MORB/MORNBFI as Section X602/4602Q:"Section X602/4602Q. Treasury Activities of BSP Supervised Financial Institutions (BSFIs). —"Statement of Policy. The Bangko Sentral ng Pilipinas (BSP) is cognizant that treasury activities may expose BSFIs to significant risks along with profitable opportunities. These regulations are being issued to set out minimum expectations on BSFIs' treasury activities pursuant to Section 4 of R.A. No. 8791 or the General Banking Law of 2000, which recognizes the authority of the BSP to issue rules of conduct and establish standards...