As a result of such collective behavior, the liquidity shortage will accelerate further and interest rates will rise. Under the mechanism described by Bagehot, it is assumed that liquidity is provided based on negotiations with individual financial institutions, which, however, would stigmatize such institutions. To overcome this problem, major central banks have introduced new measures.
And I am pleased to share that the political commitment of the Philippines in addressing the action plan remains strong and steadfast as all relevant agencies of the Philippine government continue to contribute toward producing the expected results over a sustained period.