Financial institutions from Korea, Indonesia, Malaysia, Taiwan, Singapore, and Japan are interested to put up branches in the Philippines and offer their full range of services, if and when the Philippine government decides to further liberalize the banking sector. Trade Undersecretary Ponciano C. Manalo Jr. disclo
Financial institutions from Korea, Indonesia, Malaysia, Taiwan, Singapore, and Japan are interested to put up branches in the Philippines and offer their full range of services, if and when the Philippine government decides to further liberalize the banking sector.
Trade Undersecretary Ponciano C. Manalo Jr. disclosed that they have received expressions of interest from foreign banks.
“They're asking how they can fully operate in the Philippines. The secretary of the Department of Trade and Industry committed to these banks that he will talk to the Bangko Sentral ng Pilipinas to confirm the agency's support to extend the list of those that can have a full banking license,” Manalo explained. “We'd like to give them opportunity to participate in the Philippines.”
The trade official explained that these interests are highly beneficial for the country as these banks could help facilitate the entry of more foreign companies and more foreign investments in the Philippines, specifically in the manufacturing sector.
Manalo noted that these banks are keen to be part of the local banking system given the ease of doing business in the Philippines, good governance and greater transparency, all of which help assure investors of a stable, conducive business environment.
The investment grade ratings that the Philippines received last year from credit rating agencies such as Moody's, Fitch Ratings and Standard and Poors have also contributed to this.
On another development, Manalo also disclosed that Korean firms are eyeing investment opportunities in the country's energy, construction, data analytics, IT-BPM, banking and tourism sectors, among others.