It would buy time but in so doing also worsen matters today as there is the risk that trust in public finances would erode even more. Moreover, a widespread lack of trust in public finances weighs heavily on growth. A study by Carmen Reinhart and Kenneth Rogoff implies that debt levels above 90% will reduce growth.
On behalf of the Members of the Monetary Board, I thank all of you for joining us today as we honor our partners who continue to support the Bangko Sentral ng Pilipinas in its various initiatives. Ladies and gentlemen. We cannot overemphasize the value of your support and cooperation.