I strongly encourage bankers to consider creating a plan to handle liquidity needs during times of unexpected stress—and then test the ability to execute the plans. Adverse conditions can escalate quickly, and influences beyond a bank management’s control, including irrational actors, can impact your business in very short order.
Benjamin E Diokno: Supporting the digitalization of microfinance institutions Speech by Mr Benjamin E Diokno, Governor of Bangko Sentral ng Pilipinas (BSP, the central bank of the Philippines), at the 29th APPEND (Alliance of Philippine Partners for Enterprise Development) Leadership Conference, 10 November 2021.