BSP Initiates Tax Adjustments to Boost Capital Acquisition and Attract Investments
Summary
In a pivotal move to fortify the financial landscape of the Philippines, the Bangko Sentral ng Pilipinas (BSP) has set the ball rolling on initiatives designed to bolster capital acquisition for corporations. The crux of the strategy pivots around tax adjustments, a manoeuvre expected to lure a greater influx of investments into the country. The EMF focuses their investments on equity securities of issuers based in countries that boast smaller capital markets. Remolona drew attention to the constraints of Philippine capital markets, noting that trading is typically restricted to highly rated securities. Simultaneously, the Philippine central bank’s monetary settings continue to remain ‘sufficiently tight’ as rice inflation speeds up, hitting the fastest rate in nearly 15 years.