The Monetary Board approved the enhancements to the required reports on interest rates on loans and deposits being submitted by universal/commercial banks (UBs/KBs). The enhanced structure requires greater granularity on the data reported that is expected to contribute to enhanced monitoring and analysis of the Bangko Sentral as well as provide the public with more information in making decisions.
The enhanced structure of the report requires UBs/KBs to disclose interest rates on actual loans granted and deposits generated classified as to product types, maturity period/terms, and size (of deposits) as of a given reference period. The information generated from said reports provide analytical support for policy decisions as well as assessment of interest rate risk exposure of the industry. Data on bank interest rates on loans and deposits are published on the BSP website on a regular basis. These will provide consumers with more valuable information to compare costs and evaluate their needs based on the best loans and deposits products available to them.
The compilation and publication of bank interest rates on loans and deposits are aligned with the international best practice and likewise supports the Bangko Sentral’s thrust to promote greater financial literacy, consumer protection, and market transparency in the industry.
UBs/KBs will have transitory period of one month beginning 01 February 2019 prior to full implementation of the enhanced reporting requirements on 01 March 2019.