Positive outcomes included a reduction in the central government deficit, the end of the banks' protracted series of financial losses and a noticeable improvement in the economy's external indebtedness. High unemployment continued to pose a serious problem.
Assets of the Philippine banking system continued to expand to P16.4 trillion by end-November 2018, attributed mainly to deposit growth. Most of these deposits were deployed to lending for productive activities. Loan quality remains satisfactory as banks continue to adhere to sound credit underwriting standards. Meanwhile, capitalization continues to build up, with capital ratios remaining well above national and international thresholds.