{"id":38919,"date":"2015-01-17T17:11:28","date_gmt":"2015-01-17T09:11:28","guid":{"rendered":"https:\/\/canadianinquirer.net\/v1\/?p=38919"},"modified":"2015-01-17T17:11:28","modified_gmt":"2015-01-17T09:11:28","slug":"bsp-chief-eyes-net-inflows-to-emes-as-a-result-of-snb-decision","status":"publish","type":"post","link":"https:\/\/canadianinquirer.net\/v1\/2015\/01\/17\/bsp-chief-eyes-net-inflows-to-emes-as-a-result-of-snb-decision\/","title":{"rendered":"BSP chief eyes net inflows to EMEs as a result of SNB decision"},"content":{"rendered":"<figure id=\"attachment_10675\" aria-describedby=\"caption-attachment-10675\" style=\"width: 468px\" class=\"wp-caption aligncenter\"><a href=\"https:\/\/canadianinquirer.net\/v1\/wp-content\/uploads\/2014\/05\/bangko-sentral-ng-pilipinas.jpeg\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-10675\" src=\"https:\/\/canadianinquirer.net\/v1\/wp-content\/uploads\/2014\/05\/bangko-sentral-ng-pilipinas.jpeg\" alt=\"Bangko Sentral ng Pilipinas (Central Bank of the Philippines). Wikipedia photo\" width=\"468\" height=\"351\" srcset=\"https:\/\/canadianinquirer.net\/v1\/wp-content\/uploads\/2014\/05\/bangko-sentral-ng-pilipinas.jpeg 468w, https:\/\/canadianinquirer.net\/v1\/wp-content\/uploads\/2014\/05\/bangko-sentral-ng-pilipinas-300x225.jpeg 300w\" sizes=\"auto, (max-width: 468px) 100vw, 468px\" \/><\/a><figcaption id=\"caption-attachment-10675\" class=\"wp-caption-text\">Bangko Sentral ng Pilipinas (Central Bank of the Philippines). Wikipedia photo<\/figcaption><\/figure>\n<p>MANILA &#8212; Net inflows to emerging market economies (EMEs) are possible with this week\u2019s decision by the Swiss National Bank (SNB) to remove the cap on the Swiss franc\u2019s value against the euro.<\/p>\n<p>\u201dGoing forward, these inflows could help soften the effect of an underlying strong US dollar,\u201d Bangko Sentral ng Pilipinas (BSP) Governor Amando Tetangco Jr. said.<\/p>\n<p>Aside from the removal of the minimum exchange rate of 1.20 francs to a euro, which was put in place in September 2011 to address the franc\u2019s overvaluation, SNB also lowered key interest rates from -0.25 percent to -0.75 percent.<\/p>\n<p>The Philippine central bank chief said the SNB move \u201ceffectively takes out one \u201cfixed point\u201d in the global market,\u201d thus, it \u201cincreases financial market volatility.\u201d<\/p>\n<p>Tetangco cited that analysts now project a looming additional stimulus program from the European Central Bank (ECB) because of the unexpected SNB decision.<\/p>\n<p>\u201cTogether, these could translate to an increase in volatility in our own domestic markets also,\u201d he said.<\/p>\n<p>Tetangco said currencies in EMEs \u201cmay initially weaken in sympathy with EUR, but with interest differentials still in favor of most EMEs (especially as SNB also lowered interest rates on sign deposits), it is possible that we could see net inflows into EMEs, including the Philippines.\u201d<\/p>\n<p>\u201dWe will consider these developments in our next policy meeting, and evaluate how these would affect the outlook for inflation and our own growth dynamics,\u201d he added.<\/p>\n<p>The first policy meeting of the BSP\u2019s policy making-Monetary Board (MB) for 2015 is scheduled on Feb. 12.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>MANILA &#8212; Net inflows to emerging market economies (EMEs) are possible with this week\u2019s decision by the Swiss National Bank &hellip;<\/p>\n","protected":false},"author":44,"featured_media":10675,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1482,19,95],"tags":[],"class_list":["post-38919","post","type-post","status-publish","format-standard","has-post-thumbnail","category-breaking","category-business","category-news-ph","mauthors-joann-santiago","mauthors-philippines-news-agency"],"_links":{"self":[{"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/posts\/38919","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/users\/44"}],"replies":[{"embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/comments?post=38919"}],"version-history":[{"count":0,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/posts\/38919\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/media\/10675"}],"wp:attachment":[{"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/media?parent=38919"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/categories?post=38919"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/tags?post=38919"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}