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Philippines: BSP extends easier FX transaction guidelines
MANILA, Philippines — The Bangko Sentral ng Pilipinas (BSP) has further extended operational relief measures by relaxing the guidelines on foreign exchange transactions amid the pandemic.
BSP Deputy Governor Francisco Dakila Jr. said the regulator has temporarily lifted the prescriptive periods for the submission of application for registration of foreign investments, notice to the BSP for new foreign borrowings, changes in the loan’s financial terms and conditions, as well as application for registration of foreign borrowings.
Dakila said the BSP has also waived the applicable processing fees for the registration of foreign investments, approval or registration of foreign currency loans with or without foreign exchange obligations due, and replacement of lost BSP registration documents for loans and investments.
Dakila issued Circular Letter 2020 – 041 pertaining to operational relief measures covering the prescriptive periods and processing fees under the Manual of Regulations on Foreign Exchange Transactions.
The BSP, through Circular Letter 1080 issued on March 27, approved the temporary relaxation of the guidelines to facilitate access to foreign exchange resources as the entire Luzon was placed under enhanced community quarantine in mid-March to slow the spread of COVID-19.
The measures, effective during the enhanced community quarantine as declared by the President or as may be extended by the BSP, help facilitate the public’s access to foreign exchange resources of the banking system to finance legitimate transactions.
The circular issued last March allowed the electronic submission of documents for applications for approval or registration of foreign currency loans/borrowings/investments, as well as sale of foreign exchange by authorized agent banks and foreign exchange companies.
It also allowed the use of e-signatures or digital signatures for documents originally submitted in hardcopy as well as the submission of documents without the e-signatures or digital signatures and required notarizations.
The BSP also agreed not to impose monetary penalties for delayed submission of reports and to relax the deadline and prescriptive period for the submission of certain documents, information and applications covering foreign currency loans and investments.
The BSP has been liberalizing foreign exchange transactions and streamlining requirements for the registration of foreign investments in the country as part of efforts to promote ease of doing business.
Source: https://www.philstar.com/business/2020/08/31/2038927/bsp-extends-easier-fx-transaction-guidelines