Because bank deposits are a form of money, the closing of many banks greatly exacerbated the decline in the money supply. Moreover, afraid to leave their funds in banks, people hoarded cash, for example by burying their savings in coffee cans in the back yard. Hoarding effectively removed money from circulation, adding further to the deflationary pressures.
This year, we plan to leverage on this strength to reach out to more sectors and regions across the country. Finally, financial consumer protection. We have strengthened our financial consumer protection efforts by creating a consumer redress mechanism within the BSP.