Palace: Tetangco’s 2nd term to result in good monetary policy

Malacañang on Tuesday challenged the Bangko Sentral ng Pilipinas (BSP) and the Philippines’ economic managers “to maintain our growth momentum while confronting the challenges posed by the global economy." The swearing in of second-termer Bangko Sentral ng Pilipinas (BSP) Governor Amando Tetangco Jr., as well as of two Monetary Board members, prompted the Palace to issue a statement, saying “prudent, responsible, and effective monetary policy" will come out of Tetangco’s reappointment. “The cooperation, mutual trust, and effective fiscal and monetary responses from our economic team are a firm foundation for accelerating economic progress on the basis of the reforms laid during the past year," said Presidential Spokesperson Edwin Lacierda. Tetangco made history on Monday as President Benigno Aquino III swore him in as BSP governor – the first to get a reappointment for a second six-year term. “The confidence of the President humbles me and inspires me to serve more. As you know, there are many hazards of this job but I am encouraged to take these on because of the President's support and the knowledge that the BSP professional organization is behind me," Tetangco said in a text message to reporters. Also on Monday, former Socioeconomic Planning Secretary and National Economic and Development Authority director general Felipe Medalla and Development Bank of the Philippines former chairman and Subic Bay Metropolitan Authority administrator Alfredo Antonio were sworn in by President Aquino as members of the seven-man Monetary Board, the BSP’s policy-setting body. Meanwhile, in a chance interview during the Department of Foreign Affairs anniversary celebration, President Benigno Aquino III said he told officials of the Philippine Stock Exchange (PSE) to aim for the 6,000 mark, after the PSE index on Monday hit an all-time high of 4,421.56. “We think that will continue to improve. Then again it is a bellwhether for how the economy is improving, and growing then we think that there is reasonable expectation that it can continue to grow," Aquino added. He also said the PSE’s breaching of its record for two days in a row symbolized the confidence of the business community, both local and foreign. “Especially given the turn of events in the Middle East and Japan, that is really heartwarming," he said. — PE/VS, GMA News