MBC supports Tetangco’s extension as BSP governor

MANILA, Philippines – The Makati Business Club (MBC), which counts the Philippines’ largest conglomerates as members, has thrown its support behind President Rodrigo Duterte’s plan to allow current Bangko Sentral ng Pilipinas (BSP) governor Amando Tetangco Jr. to continue in his role.

In a statement on Tuesday, November 29, the MBC said that “we fully support the President’s wish to appoint Mr. Tetangco for a third term and we join him in urging our lawmakers of the 17^th Congress to amend Section 6 of the New Central Bank Act of 1993 which limits the term of the BSP Governor to one reappointment.  We are confident that under Mr. Tetangco’s watch, the BSP will continue to serve its mandate towards the continued well being of our country’s economy.”

Tetangco, who has been BSP head since 2005 – having been the first governor reappointed to a second term – is set to end his stint in July 2017

The MBC said it recognizes Tetangco’s work as BSP head, noting that “under his leadership, the BSP has been effectively executing and fulfilling its mandate of keeping inflation manageable, conducting sound monetary policy, and supervising financial institutions under its jurisdiction.”

“This has significantly cushioned the country from external shocks and has largely insulated us from the adverse effects of recent global and regional financial crises,” it added.

The business club also pointed out that the BSP has consistently ranked first in the MBC Executive Outlook Survey, an annual survey conducted to determine members’ perception on the performance of Philippine government agencies. It also said BSP’s net satisfaction score has also been remarkably high since Tetangco took office.

Open to the possibility

Tetangco rose from the ranks and became BSP chief in 2005 during the term of then president and now Pampanga Representative Gloria Macapagal-Arroyo.

He indicated his openness to an unprecedented 3^rd term earlier this month. “It’s really an honor to get that offer for the third term and I share this honor with the officers and staff of the BSP. Congress is now deliberating on amendments on the BSP Charter. So they are still on that process and I don’t want to preempt our legislators,” Tetangco said on November 23. 

Asked if he would accept the post, if allowed by law, he said, “Let us cross the bridge when we get there.” – Rappler.com