Tag: "philippines lends imf _1 billion"
Philippines lends $1 billion to International Monetary Fund
The Republic of the Philippines is lending the International Monetary Fund (IMF) $1 billion declared by Bangko Sentral ng Pilipinas. Its primary goal-to help stabilize the global economy amid the euro zone’s debt crisis.
"The Philippines is supporting the global efforts to stabilize the world economy and maintain it on a growth path. This is the reason why the Philippines is extending a $1 billion loan to the IMF. We are a member of the global community of nations and it is also in our interest to ensure economic and financial stability across the globe,” BSP Governor Amando M. Tetangco Jr. said in a statement.
Tetangco said the loan to the IMF is the Philippines’ way of giving back to the world’s so-called lender of last resort after it helped the country address its financial difficulties in the past. (The way I assess this scenario--this is a penalty of being too dependent from other countries. Philippines' yearly import rate is 90%. That means, we don't buy our very own Philippine made products or local manufacturing sectors didn't receive ample support from the government leaving them to continue importing foreign products. Imports cost dollars and that could be the main reason why Philippines was too dependent from IMF for over 5 decades.)