BSP amends foreign exchange regulations

The Bangko Sentral ng Pilipinas’ (BSP) policy-setting Monetary Board has approved amendments to foreign exchange regulations.

In a statement, the BSP said amending foreign exchange regulations forms part of the central bank’s commitment to further facilitate access to foreign exchange resources of authorized agent banks or their subsidiary/affiliate foreign exchange corporations for legitimate transactions and streamline documentary requirements, procedures, and reporting.

“This is part of the continuing efforts of the BSP to review the foreign exchange regulatory framework and support the country’s thrust to promote a policy environment conducive to sustained inflow of investments to help foster economic development and growth,” it said.

Major amendments include the following:

• allowing foreign investments registerable with registering authorized agent banks (such as investments in government securities, securities listed at the Philippine Stock Exchange) to be registered upon reporting by the registering authorized agent bank to the BSP, subject to compliance with the applicable guidelines the Manual of Regulations on Foreign Exchange Transactions, as amended
• dispensing with the issuance of Bangko Sentral Registration Documents for the aforesaid foreign investments registered with the BSP through the registering authorized agent banks
• streamlining the reporting forms/procedures pertaining to these foreign investments

The BSP said a transitory period until September 30, 2024 will be provided to allow registering authorized agent banks to make the necessary preparations and adjustments to their systems and processes to ensure compliance with the new reporting guidelines.

The central bank said the implementing circular covering the amendments will take effect 15 banking days after publication thereof either in the Official Gazette or in a newspaper of general circulation in the Philippines. — DVM, GMA Integrated News