The reason was that, in shedding the strait jacket of the gold standard, each country became free to use monetary policy in a way that was more commensurate with achieving full employment at home. Moreover, and critically, countries also benefited from stronger growth in trading partners that purchased their exports.
The BSP has always believed in the viability of the country’s e-poor as a market segment, especially when they are provided with financial products and services appropriate to their needs and capacities. Such mindset has led BSP to issue over 40 microfinance-related circulars and foster an enabling regulatory environment. The BSP’s microfinance work gradually expanded into financial inclusion.