On the regulatory pathway, the BSP believes that the optimal approach remains to be one that is “enabling” – one that provides ample flexibility, sensitive to risk-appetite and business models, and proportionate to the banks’ size, structure and complexity of their operations.
This approach aims to shift perspectives from a myopic compliance exercise to a forward looking stance that puts greater weight on the long term financial interest and sustainability of the organization. Following this approach, the BSP will be issuing ESG related regulations in phases.