MANILA, Philippines - The Bangko Sentral ng Pilipinas (BSP) is providing an additional special regulatory relief package for banks in areas severely affected by typhoon "Yolanda".
In a statement, the BSP said the special regulatory relief measures are available to banks with head offices and branches in Palawan, Iloilo, Aklan, Capiz, Cebu, Samar and Leyte.
"The BSP is providing the wide array of regulatory reliefs so banks can extend debt relief to typhoon victims and also continue lending and providing other services to the public in typhoon-affected areas and thus promote early recovery," the central bank said.
Under the additional relief measures, banks will be allowed to book on a staggered basis over a 5-year period the losses on loans outstanding as of November 7 that are partially or fully condoned and written off.
Losses on bank's properties, furniture and equipment as of November 7 can also be recognized over a 5-year period.
Thrift, rural and cooperative banks with head offices in the affected areas may also apply for condonation of annual supervisory fees for 2014. Depending on the losses, the BSP may condone these fees for up to 5 years.
The BSP is also allowing banks to relocate to temporary offices within the affected areas for a period not exceeding 6 months.
For banks with head offices and branches in affected areas, the BSP will relax submission of periodic and branch reports for 6 months, as well as presentation of required documents of clients.
The BSP urged industry associations to come up with guidelines that their member banks can adopt for the reconstitution of documents of clients and banks in severely affected areas.
The special regulatory relief package is in addition to the earlier regulatory and rediscounting relief that the BSP extended to banks in Yolanda-hit areas.