During his keynote speech at the Inaugural Dinner of the Rural Bankers Association of the Philippines (RBAP) last August 4, Bangko Sentral ng Pilipinas (BSP) Governor Amando Tetangco Jr recalled the journey of the two institutions in pursuance of advancing the rural banking sector and expanding financial services through innovative channels to more Filipinos.
Governor Tetangco noted that only five years ago, products and services offered by rural banks were limited. The recent BSPâ€™s Circular 678, 680 and 683 are now allowing rural banks to expand products and services to serve even more clients than ever before. These circulars recognize micro-housing loans, micro-agri loans and microinsurance as products that are suitable for low-income market. In addition, Circular 694 now allows rural banks to expand their outreach through cost-efficient channels such as the establishment of other banking offices (OBO) and micro-banking offices (MBO). Also, Circulars 649 and 704 will also open