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Further Reduction in Banks' Reserve Ratio Likely Next Year
The Philippine Star
|May 26, 2025
Any move to further reduce the amount of deposit banks are required to keep with the central bank will likely happen only next year.
In a recent briefing, Bangko Sentral ng Pilipinas (BSP) Governor Eli Remolona Jr. said slashing the reserve requirement ratio (RRR) of local banks could continue in 2026.
"We are trying to make the yield curve more reliable, which means managing liquidity in the system better than we have. And the reserve requirement is a factor in that," Remolona said.
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