The Bangko Sentral ng Pilipinas (BSP) is reminding all resident entities (both from the public and private sectors) intending to borrow from offshore sources next year to submit their borrowings plan to the BSP, thru the International Operations Department (IOD), pursuant to Section 22 of the Manual of Regulations on Foreign Exchange Transactions (FX Manual) issued under BSP Circular No. 645 dated 13 February 2009. For this year, the deadline for the submission of the foreign borrowings plan has been extended from 30 September to 22 October 2010, particularly for those who intend to avail of borrowings for the first time.
For private sector loans, the requirement applies whenever foreign borrowings for the following year will total at least US$10 million or its equivalent. For the public sector, all contemplated foreign borrowings must be reported.
The applicable forms (foreign borrowings plan) may be downloaded from the BSP website at http://www.bsp.gov.ph/regulations/reg_others.asp. Information to be obtained from these reports will provide the BSP with an indication of aggregate demand for foreign funding, and types of activities or projects that may be undertaken and may require financing next year, and assist the BSP in projecting capital flows and assessing the implications of planned borrowings on key macroeconomic variables.
The BSP wishes to assure the public that all data received will be treated with utmost confidentiality. Queries in this regard may be directed to the IOD.
* Soft copy of the FX Manual is available in the BSP website: http://www.bsp.gov.ph/downloads/Regulations/MORFXT/MORFXT.pdf