Nevertheless,  2  BIS Review 114/2007  economic policy makers have to closely monitor any potential impact of the financial turmoil on the growth of the real economy.
Given the Philippines’ improved macro fundamentals, the upshot of the dramatic increase in global liquidity for our country has been a strong external position, which has allowed us to build up our international reserves to an all-time high of $ billion as of end September and, consequently prepay over $ billion in debt in 2006 and the first half of 2007.