The topic is vast, and I shall not attempt to deal exhaustively with its numerous dimensions, but rather concentrate myself on one key component, namely cross-border banking flows. I will describe their main drivers, explore their impact on financial stability, and review major reforms currently discussed and aimed at maximizing the benefits of international banking.
We should think not only climate change, but also the broader environmental, social and governance issues that could test the resilience of the financial system. Allow me to backtrack and recall the BSP’s governance reform agenda that lead to the “maturity” of our supervised financial institutions. We first focused on strengthening the “fit and proper” requirements for the board of directors and senior management.