Just as the methods of determining the inputs can change as the state of the art changes, the formulas that translate the inputs into capital requirements can be modified as well by the regulators. Basel II can improve as knowledge improves.
In a recent global survey that studied 7 remittance corridors including US-Philippines, it was gathered that 83% of consumers are willing to shift to mobile money for international transfers.4 Indeed, the BSP will continue to create enabling and proportionate policy and regulatory space for these innovations while balancing inherent operational risks – such as business interruptions, network vulnerabilities, as well as concerns related to data privacy and security.