The Bangko Sentral ng Pilipinas (BSP) and the Department of Foreign Affairs have signed a memorandum of understanding on the central bank’s currency exchange facility (CEF), which allows overseas Filipino workers (OFWs) returning from conflict-stricken countries to exchange their non-convertible foreign exchange for pesos.
Under the CEF, such exchange is limited to a maximum amount equivalent to not more than P20,000 per eligible person.
On Tuesday, BSP Deputy Governor and Officer in Charge (OIC) Diwa Guinigundo said the signing of the memorandum will seal an important partnership that will allow for more efficient and timely implementation of the CEF.
“This will enhance the delivery of support and services to the OFWs in light of the escalating conflicts in various parts of the world,” Guinigundo said.
“The BSP’s current exchange facility program or CEF is a modest way of recognizing that our modern heroes have a great contribution to the sustainability of economic growth,” he said.
Guinigundo also recognized the role of the DFA in providing crucial and up-to-date information on the number of OFWs, status of the conflict and political instability, and security development in the country being considered for CEF qualification.
“Such information is vital for the BSP to make appropriate preparations for the quick implementation of the CEF,” he said.
The central bank has so far implemented the CEF for OFWs who have returned to the Philippines from the Kuwait-Iraq war in 1990; US-Iraq war in 2003; Israel-Hezbollah conflict in 2006; Libyan conflict in 2011; Syrian and Egyptian conflict in 2013 and another Libyan conflict in 2014.