More groups back Tetangco reappointment

MANILA, Philippines - Economists, traders and other major players in the financial markets continue to pour their support to the re-appointment of Bangko Sentral ng Pilipinas (BSP) Governor Amando Tetangco Jr. to a fresh six-year term when his first term expires in July.

The groups that expressed support to the decision of President Aquino to re-appoint Tetangco to a second term include the Foundation for Economic Freedom Inc. (FEF), the Money Market Association of the Philippines (MART), and ACI Philippines The Financial Markets Association.

In a statement, FEF said Tetangco deserves another term after “ably steering the economy to a state of stable inflation” and for managing the country’s monetary agency in a professional and competent manner without political consideration.

The group of economists pointed out that Tetangco was also able to increase the credibility of the BSP both in the local and international finance community.

“For keeping inflation under control without compromising the soundness of the country’s banking system and its rate of economic growth,” FEF stressed.

It added that the BSP under Tetangco also implemented structural banking reforms and preserved financial stability allowing the economy to remain resilient through the last global crisis.

FEF is composed mainly of former Cabinet secretaries as it is chaired by former Socioeconomic Planning Secretary Felipe Medalla with former Finance Undersecretary Romeo Bernardo as vice-chairman.

Other trustees include former Philippine Deposit Insurance Corp. and Philippine Stock Exchange president Ernest Leung, former Energy Secretary Rafael Lotilla, former Presidential Spokesman Gary Olivar, and former Sen. Simon Paterno.

The board of advisers of FEF include former Finance heads Roberto de Ocampo and Ramon del Rosario, as well as former Prime Minister Cesar EA Virata.

On the other hand, officers and directors of MART and ACI Philippines issued a separate statement expressing full support to Tetangco’s reappointment.

“We firmly believe that the Governor (Tetangco) is highly qualified to continue leading the BSP as it faces the challenges of a fast evolving global financial industry and continue delivering on its primary objectives,” MART and ACI Philippines said in the statement.

The statement was signed by MART president Mariquita Agena and ACI Philippines president Rolando Avante.

The groups pointed out that Tetangco’s dedication to progressive market reforms has led to a period of broad regulatory changes that led to a stronger banking industry while maintaining a strong commitment to free markets.

They added that the Philippine financial markets managed to stand firm and survived the global financial crisis in 2008 with very little disruption as the rest of the world collapsed.

“As financial market practitioners, we were in the frontlines during those very trying times and witnessed first-hand how the local markets pressed on. In the same vein, we are confident that the Philippine financial markets will continue to strengthen and gain new ground under his continued leadership,” MART and ACI Philippines said.

Last week, the Makati Business Club (MBC) and the Chamber of Thrift Banks cheered Tetangco’s reappointment.

Tetangco took up AB Economics at the Ateneo de Manila University where he graduated cum laude. He took up graduate courses in business administration in the same institution. As a central bank scholar, he took up his MA in Public Policy and Administration (concentration in Development Economics) at the University of Wisconsin in Madison, USA.

He assumed office as BSP Governor in July 2005 after occupying different positions in the organization in a span of over three decades. He served as deputy governor in-charge of the banking services sector, economic research and treasury.