BSP CIRCULAR NO. 631, S. OF 2008, November 12, 2008
AMENDMENT TO BSP CIRCULAR NO. 627 DATED 23 OCTOBER 2008: US DOLLAR DENOMINATED REPURCHASE AGREEMENTS WITH THE BANGKO SENTRAL NG PILIPINAS
2008, approved the following amendment to the Manual of Regulations for
Banks (MORB) on the general guidelines governing the US dollar
denominated repurchase agreements of banks with the BSP.
SECTION 1. The provisions of Subsection X601.1 of the MORB
on repurchase agreements (R/P) with the BSP are hereby further amended
as follows:
“X601.1 Repurchase agreements with Bangko Sentral. R/P agreements
may be effected with the BSP subject to the following terms and
conditions,x x x
US dollar denominated R/P facility may likewise be effected with
the BSP, subject to the following terms and conditions, and as may be
provided under the R/P facility:(a) Eligible borrowers. The US dollar denominated R/P facility
shall only be available to banks with legitimate foreign currency
denominated funding needs as may be provided under the R/P facility:
Provided, That the borrowing shall be for the account of the applicant
bank and shall not be used to fund liquidity requirements of foreign
branches, affiliates, or subsidiaries.x x x”
This Circular shall take effect immediately.
Adopted: 12 Nov. 2008
FOR THE MONETARY BOARD:
(SGD.) ARMANDO L. SURATOS
Officer-In-Charge