BSP governor leads the region in FSB meeting in Cebu

Bangko Sentral ng Pilipinas (BSP) Governor Felipe M. Medalla led the 23^rd Financial Stability Board Regional Consultative Group for Asia (FSB-RCGA) Meeting held in Cebu on 16 – 17 May 2023.

FSB Chairman and President of De Nederlandsche Bank Klaas Knot, FSB Secretary General John Schindler, and FSB-RCGA co-chair and Reserve Bank of India Deputy Governor M. Rajeshwar Rao together with 17 Asian jurisdictions participated in the meeting.

The RCGA members discussed the work program of the FSB and how this impacts on Asia. There were specific sessions on global vulnerabilities, the increasing role of non-bank finance as well as on crypto-assets. The body provided inputs to the reference documents, including the proposed framework on crypto-assets.

“Today’s RCGA meeting comes at a very opportune time. Over the last three years, we have experienced shocks that are unprecedented in many respects. These have been trying times for financial authorities,” said Governor Medalla.

The Governor added, “…as we try to navigate a path forward, the changing times also highlight the importance of collaboration.”

“For Asia, collectively, we are poised to continue [to account for] the bulk of economic growth for the entire world. From my perspective, the key is [to make] the reference to Asia – although it is very hard to refer to it – as a single entity. But we, I think, can work together, and this diversity actually presents a lot of opportunities, just as it is fraught with challenges. Where all these put us is that we face a lot of interlinked uncertainties at both regional and global levels. These affect all of us. One can easily make the case that global disruptions require global solutions,” concluded Governor Medalla.

The FSB-RCGA brings together national authorities responsible for Financial Stability in 17 jurisdictions. Its members include the financial authorities from Australia, Brunei Darussalam, Cambodia, China, Hong Kong SAR, India, Indonesia, Japan, Korea, Malaysia, New Zealand, Pakistan, Philippines, Singapore, Sri Lanka, Thailand, and Vietnam.