One might argue that interest rates in some countries were set at too low a level over this period, but it should be remembered that until quite recently central banks have had to contend with weakness in general activity in many of these countries, notwithstanding stronger housing markets.
Today’s launch of the BSP’s e-Rediscounting System here at the La Union Convention Center is expected to break new ground in BSP lending. The introduction of a real-time loan refinancing facility to help banks in La Union and in the neighboring areas of Regions I, II, III and the CAR is expected to scale up their lending capability and help pump-prime the local economy.