Daily News

Analysts: another RRR cut still possible

Manageable inflation paired with the still unremarkable loan growth could allow room for another slash in banks’ reserve requirement ratio (RRR) towards yearend. Bangko Sentral ng Pilipinas (BSP) Governor Benjamin E. Diokno hinted that the central bank may consider another RRR cut after the 300-basis point (bp) total reduction, so far, this year depending on relevant data expected to be released in November and December. The latest 100-bp cut, to come into effect on Nov. 1, will take the RRR for big banks, thrift banks and rural banks to 15%, five percent and three percent, respectively.