Given the dynamism they provide to an economy, measures to alleviate the shortage of finance are crucial in meeting the wider goals of the EU member states, namely increasing employment, productivity and growth. At the Cardiff European Council in June 1998, financial services were given a high profile and the European Commission was asked to prepare a framework for action.
As of end-2020, the Philippine banking system (PBS) has exhibited sustained growth in assets, adequate liquidity buffers, strong capital position, and ample loan loss reserves. The assets of the banking system managed to grow from 2019 by 6.1 percent to P19.4 trillion as of end-2020. The growth was mainly driven by higher deposits, which rose by 8.9 percent in 2020.