THE Bangko Sentral ng Pilipinas welcomed Moody’s Ratings’ favorable assessment of the country’s monetary policy, banking system, and external position.
BSP Governor Eli M. Remolona Jr. said the assessment underscores the importance of sound monetary policy, a resilient banking system, and strong external buffers in supporting the Philippine economy.
“The BSP will continue to keep inflation manageable, safeguard financial stability, and strengthen the country’s resilience to external shocks,” Remolona said.
In its latest credit opinion, Moody’s said the BSP has built a strong track record of maintaining monetary and financial stability, helping the economy withstand shocks and strengthening confidence in its policies.
The credit rating agency expects inflation to move back toward the BSP’s 2 percent to 4 percent target range in 2027 and 2028.
Moody’s described the Philippine banking system as “well-capitalized, profitable, and competently managed.” It credited the BSP’s strict supervision, adoption of international regulatory standards, and preemptive macroprudential measures for helping maintain financial stability.
The agency also cited the country’s strong external position, pointing to ample foreign exchange reserves, steady remittance inflows, and resilient earnings from the business process outsourcing industry.
These buffers help the economy absorb external shocks, Moody’s said.
A credit opinion provides additional analysis and context behind a sovereign credit rating decision.
On Aug. 24, 2026, Moody’s affirmed the Philippines’ Baa2 investment-grade credit rating with a stable outlook. PR
