Even though the authors caution that the effect is likely to be lower for the biggest banks, these numbers are sizeable by any measure, especially considering that the proposed Basel III leverage ratio is 3%. Doing away with the preferential tax treatment of debt could therefore provide a major boost to financial stability.
We have been described as an emerging Asian tiger. The venerable New York Times has labeled the Philippines as the economic bright spot in Asia. The World Bank has observed that macroeconomic stability is now the new normal in the Philippines. The IMF has singled out the Philippines for being the only country whose growth forecast it has upgraded.