Requirements for the issuance of bonds and commercial papers by banks and quasi-banks (QBs) have been streamlined by the Bangko Sentral ng Pilipinas (BSP).
Amendments to pertinent regulations have been approved by the policymaking Monetary Board, the central bank said in a statement.
“The amendments include removal of the minimum bond features such as the requirement on eligible collaterals, which may constrain banks and QBs from issuing debt securities,” it said.
The revised rules, however, reiterates compliance with the securities law and its implementing rules and regulations.
The Bangko Sentral said the new regulations aim to provide greater flexibility to banks and QBs wanting to tap an alternative funding source.
“This is also consistent with the initiatives of the BSP, together with other financial regulators, to spur the development of the domestic bond market,” it said.