If policy were changed, then we would explain that change in terms of how the variables in our response function changed. If we choose a consistent set of variables and systematically use them to describe our policy choices, the public will form more accurate judgments about the likely course of policy – thereby reducing uncertainty and promoting stability.
For all these to “work”, we need the plumbing. Just like in a house, the financial markets need to have efficient plumbing. This is why the BSP is currently reviewing, not just Philpass, but the whole financial market infrastructure as well.