QuestionsQuestions (EXECUTIVE ORDER NO. 16)
Executive Order No. 16 amends Section 5 of Republic Act No. 265, as amended, to increase the members of the Monetary Board.
It is meant to address serious budgetary constraints by enabling necessary and responsive fiscal, monetary, and credit policies, harmonizing budgeting with monetary and fiscal policies, and making the Minister of the Budget an ex-officio member of the Monetary Board.
The Monetary Board shall be composed of seven (7) members.
The Governor of the Central Bank, who is appointed for a term of six years by the President, serves as Chairman.
The Senior Deputy Governor shall act as Chairman.
The Minister of Finance shall designate a deputy to attend as his alternative.
He designates a deputy director general of the Authority to attend as his alternate.
He designates a governor of the Board of Investments to attend as his alternate.
He designates a deputy to attend as his alternate.
In lieu of any officials named in subsection (c) or (d), the President may determine the head of any other financial or economic agency or department of the Government.
They are appointed by the President for terms of four years, based on the appointees’ integrity, experience, and expertise.
The first member appointed shall have a term of two years, and the second member shall have a term of four years (respectively).
The Governor is appointed for a term of six (6) years by the President of the Philippines.
It takes effect immediately.
The EO includes the Minister of the Budget as an ex-officio member, aiming to better harmonize and coordinate budgeting with monetary, credit, and fiscal policies.