Over the nearly 15 years of deflation, inflation expectations of firms and households have declined and the  4  BIS central bankers’ speeches  deflationary mindset has been firmly embedded in their minds. Under deflation, holding of cash and deposits has become a relatively better investment.
As part of the BSP’s program to develop a more inclusive financial system, we have put in place policies and programs to enable the development of a wide range of products that can cater to the needs of OFs and their beneficiaries. We also continue to implement a nationwide Economic and Financial Learning Program where we have a special focus on OFs.