BSP chief assures Silicon Valley Bank collapse won’t trigger financial crisis

Bangko Sentral ng Pilipinas (BSP) Governor Felipe Medalla has downplayed the collapse of Silicon Valley Bank in the United States, saying it will not have an adverse impact on the country’s financial system.

“No. It will not trigger another financial crisis,” Medalla said.

The BSP governor was asked to comment on the shutdown of Silicon Valley Bank and whether it would cause another financial crisis in the country.

Last week, news broke that Silicon Valley Bank, which spe- cializes in financing startups, was shut down and its assets were seized by US authorities after it took a loss of $1.8 billion in the sale of $21 billion worth of securities.

Silicon Valley Bank’s collapse was feared to trigger a potential spillover across the entire US banking system.

Medalla said that there is “no reported exposure of Philippine banks to Silicon Valley Bank.”

“Philippine banks have strong balance sheets,” he said.

The Bankers Association of

Digitization in PH logistics sector to help alleviate port congestion

Digitizing the logistics sector through the use of technologies, such as supply chain management system and digitizing the process of customs filing, will help the country’s main port to alleviate congestion, according to a logistics technology firm executive.

In a press briefing in Taguig City Tuesday, AEB (Asia Pacific) Pte. Ltd. general manager Frans Kok said the use of digital infrastructure is imperative as there are no more opportunities to physically expand the Manila Port.

expected to grow by 8 to 10 percent.

There is also an annual shortage of 50,000 pallet locations in local warehouses.

The current situation in ports across the country can further aggravate if digitization will not be applied, as businesses are aggressive in their expansion activities post-pandemic.

“We have seen the traditional players in the market grow, but we also see new players entering this market. It’s a business opportunity for them,” he added.

the Philippines (BAP) on Tuesday said the Philippine banking system is strong and stable amid the collapse of Silicon Valley Bank in the United States, described as the American banking sector’s biggest failure since the 2008 financial crisis.

BAP said banks “have diversified deposit bases that include all sectors of the Philippine economy, allowing them to continuously provide the liquidity needs of their clients.”

“Additionally, banks in the

Kok said this will provide timely data to manage the movements at the port, tracking and tracing of shipment, seamless communication across the supply chain and accelerate business processes, among others, to prevent bottlenecks.

“This is not just an issue that we’re working on in the Philippines but many of the developing countries face exactly the same issue. Most of the ports, historically have been built in the capital like Manila. But of course, from a supply chain perspective, that immediately gives him a congestion problem,” he said.

Kok suggested the need to focus on opportunities in cold storage business in the country.

He said the demand for warehouses and cold storage facilities boomed during the pandemic when mobility restrictions spurred the growth of electronic commerce, especially clothing, home articles and food.

“Of course, supply chains were disrupted. There were less flights, there was less movement of goods. So, it was important that the goods were stored locally and stored for longer periods of time so that the government could ensure that there was sufficient food for everybody to eat. Cold storage is of course very important when it comes to perishable and fresh FBSP, P10

Kok said Philippine ports have to keep up with technology as the domestic logistics sector is