While the past few months have been less than ideal, Bangko Sentral ng Pilipinas on Sunday said it showed a high commitment and service to the nation in 2022.

In a tweet, BSP Governor Felipe Medalla said the central bank is keeping a watchful eye on the risks of inflation and addressing them through timely and appropriate measures to reach price stability as one of its first pillars.

"Sometimes the timing is almost as important as the size of the action. Given our tools, experience, track record, and credibility, we hope we'll always fulfill our mandate," Medalla said.

He mentioned that BSP's second pillar is financial stability, adding that banks continue to strengthen the country's economy.

Cash-lite economy

Medalla said the banks are growing without sacrificing the system's stability while preserving and protecting the interests of depositors.

The third pillar, Medalla added, is a safe and efficient payments and settlements system.

The BSP Governor said BSP aims to shift from a cash-heavy to a cash-lite economy. He mentioned that digitalization would increase efficiency and improve governance. Medalla added that BSP also sees digitalization as a way to expand financial inclusion.

"I'm glad to report that we are on track with our digitalization and financial inclusion goals. In 2021, 30 percent of financial transactions were done through electronic channels, while 56 percent of Filipino adults have formal transaction accounts," Medalla said.

In this difficult environment, Medalla underscored that the central bank's greatest tool and asset is its credibility.

"So, we keep an eye on our credibility. We should also build our skills and technological capacities. As technology changes, so should we get better at these new things," Medalla said.