QuestionsQuestions (BSP CIRCULAR NO. 724, S. 2011)
It revises the definitions of “Socialized Housing” and “Low-Cost Housing” used under the Manual of Regulation on Foreign Exchange Transactions (based on BSP Circular No. 645, as amended).
Socialized Housing refers to housing packages with loan ceilings of not more than PHP 400,000, or in such other amounts which HUDCC may prescribe in the future.
Low-Cost Housing refers to housing packages with loan ceilings ranging from above PHP 400,000 up to PHP 3 million, or in such other amounts which HUDCC may prescribe in the future.
If the loan ceiling is not more than PHP 400,000, it falls under Socialized Housing. Thus, PHP 400,000 itself is Socialized Housing.
It is above PHP 400,000, so it falls under Low-Cost Housing (up to PHP 3 million).
The definitions allow that HUDCC may prescribe other amounts in the future; these future HUDCC-prescribed thresholds may modify the effective loan ceiling limits stated in the Circular.
It is pursuant to Monetary Board Resolution No. 768 dated 26 May 2011.
It clarifies the definitions of socialized and low-cost housing as used in the Manual of Regulation on Foreign Exchange Transactions, indicating these definitions have regulatory relevance for foreign exchange-related rules.
It takes effect 15 calendar days following its publication either in the Official Gazette or in a newspaper of general circulation.
It was adopted on 13 June 2011, and signed for the Monetary Board by (SGD.) Amando M. Tetangco, Jr., Governor.
It sets the initial thresholds, but explicitly allows HUDCC to prescribe different amounts in the future, meaning the effective thresholds can change.
Yes. The Circular states “ranging from above PHP 400,000 up to PHP 3 million,” which includes PHP 3 million as the upper bound.
It defines “Socialized Housing” and “Low-Cost Housing” based on loan ceiling limits.