Brief highlights on R.A.

11211
• Capital. RA 11211, the capital of the BSP shall be P200,000,000,000/200 Billion
Pesos to be fully subscribed by the government the increase shall be funded
solely from the declared dividends by the BSP in favor of the national
government. (from P50,000,000,000/ 50 Billion Pesos and 10 Billion Pesos of
which shall be fully paid by the government)

• The meetings of the monetary board may be conducted through modern

technologies such as, but not limited to, teleconferencing.

• The primary objective of the BSP is to maintain price stability conducive to a

balanced and sustainable growth of the economy and employment . It shall also
promote and maintain monetary stability and the convertibility of the peso.
 Brief History of Central Bank of the
Philippines
1933 The Conceptualization of CBP.

During the Commonwealth period (1935-1941), the discussion about a Philippine

central bank that would promote price stability and economic growth continued.
The country’s monetary system then was administered by the Department of
Finance and the National Treasury.

Shortly after President Manuel Roxas assumed office in 1946, he instructed then
Finance Secretary Miguel Cuaderno, Sr. to draw up a charter for a central bank. The
establishment of a monetary authority became imperative a year later as a result of
the findings of the Joint Philippine-American Finance Commission chaired by Mr.
Cuaderno.
Shortly after President Manuel Roxas assumed office in 1946, he
instructed then Finance Secretary Miguel Cuaderno, Sr. to draw up a
charter for a central bank.

Immediately, the Central Bank Council, which was created by President

Manuel Roxas to prepare the charter of a proposed monetary authority,
produced a draft. It was submitted to Congress in February1948. By
June of the same year, the newly-proclaimed President Elpidio Quirino,
who succeeded President Roxas, affixed his signature on Republic Act
No. 265, the Central Bank Act of 1948.
• The administration that followed the transition government of President
Corazon C. Aquino saw the turning of another chapter in Philippine central
banking. In accordance with a provision in the 1987 Constitution, President
Fidel V. Ramos signed into law Republic Act No. 7653, the New Central Bank
Act, on 14 June 1993.

• The law provides for the establishment of an independent monetary authority

to be known as the Bangko Sentral ng Pilipinas, with the maintenance of price
stability explicitly stated as its primary objective. This objective was only
implied in the old Central Bank charter. The law also gives the Bangko Sentral
fiscal and administrative autonomy which the old Central Bank did not have.
On 3 July 1993, the New Central Bank Act took effect.