Question & AnswerQ&A (EXECUTIVE ORDER NO. 144)
The main purpose of Executive Order No. 144, s. 2021 is to institutionalize the Financial Stability Coordination Council (FSCC) as an inter-agency body to enhance the stability of the financial system in the Philippines by mitigating systemic risks through timely macroprudential policy interventions.
The FSCC is composed of the Bangko Sentral ng Pilipinas (BSP), Department of Finance (DOF), Securities and Exchange Commission (SEC), Insurance Commission (IC), and the Philippine Deposit Insurance Corporation (PDIC).
The policy of financial stability aims to safeguard the welfare of Filipinos through a well-functioning financial system by enhancing financial system stability and mitigating systematic risks with timely policy interventions.
The FSCC may issue directives or policy regulations for financial stability, align policies and supervisory frameworks, coordinate with foreign regulators, collaborate with public and private organizations for data collection and research, and formulate governance and operational guidelines.
The BSP Governor serves as the Chairperson of the FSCC Executive Committee (ExeComm).
The ExeComm governs the affairs of the FSCC, promulgates rules for internal procedures, issues Resolutions on implementation of functions, and creates Technical Working Groups or Sub-Committees as necessary.
Unless otherwise declared, the Office of Systematic Risk Management of the BSP serves as the Technical Secretariat to the FSCC.
Funding requirements for the operation of the FSCC are charged against the budget of the Bangko Sentral ng Pilipinas (BSP).
Yes, coordinating with foreign regulators on financial stability and macroprudential policy is one of the powers and functions of the FSCC.
If any provision is declared invalid or unconstitutional, the other provisions unaffected shall continue to be in full force and effect (separability clause).