Question & AnswerQ&A (PRESIDENTIAL DECREE NO. 1801)
The primary purpose of Presidential Decree No. 1801 is to establish the Central Bank of the Philippines as the central monetary authority tasked with providing policy direction in the areas of money, banking, and credit.
The Central Bank of the Philippines is constituted as the central monetary authority pursuant to Section 14, Article XV of the 1987 Constitution.
The Central Bank of the Philippines shall provide policy direction in money, banking, and credit; have supervisory authority over the operations of banks; and exercise regulatory authority over non-bank financial intermediaries as provided by law.
The Central Bank exercises such regulatory authority over the operations of non-bank financial intermediaries as may be provided by law.
The decree took effect immediately upon its issuance on January 16, 1981.
Before this decree, the Central Bank operated under existing laws and functioned as the central monetary authority until the National Assembly would otherwise provide.
The decree assigns the Central Bank the role of providing policy direction in the areas of money, banking, and credit.
No, the decree itself does not specify penalties or sanctions; it primarily establishes the Central Bank’s authority and functions.
The decree was attested by Juan C. Tuvera, Presidential Executive Assistant.