Philippines’ Marcos names new finance chief and c.bank governor

Philippine president-elect Ferdinand “Bongbong” Marcos Jr., son of late dictator Ferdinand Marcos, attends a information convention at his headquarters in Mandaluyong Metropolis, Metro Manila, Philippines, Might 23, 2022. REUTERS/Lisa Marie David

MANILA, Might 26 (Reuters) – Philippine President-elect Ferdinand Marcos on Thursday introduced the present central financial institution governor Benjamin Diokno can be his finance minister when he takes workplace subsequent month.

Diokno can be changed by Felipe Medalla as Bangko Sentral ng Pilipinas (BSP) governor, Marcos mentioned in an interview carried out by his press new secretary, which was streamed on his Fb web page.

Medalla is a member of the central financial institution’s financial board.

Marcos mentioned his first precedence can be the economic system, notably addressing rising inflation and the necessity for job era.

The appointments point out one other continuity transfer by Marcos, who is anticipated to increase on lots of the financial insurance policies of incumbent Rodrigo Duterte, together with a significant infrastructure overhaul.

Diokno, a finances secretary beneath the Duterte administration earlier than he was appointed central financial institution governor, mentioned he was dedicated to rigorously managing the economic system.

“As finance secretary, I’ll attempt to proceed prudently and punctiliously balancing the necessity to assist financial progress, on one hand, and to keep up fiscal self-discipline, on the opposite,” Diokno mentioned in an announcement.

Marcos additionally named Emmanuel Bonoan as public works secretary and Alfredo Pascual as commerce secretary.

The broader inventory index (.PSI) was flat on Thursday, after Marcos’s bulletins about his financial group.

The BSP raised rates of interest for the primary time since 2018 on Might 19, becoming a member of friends round world in a rush to stem intensifying inflationary pressures.

Marcos is inheriting an economic system on a stronger footing, having expanded 8.3% within the first quarter from a yr earlier.

The present authorities this week narrowed its progress goal to 7.0%-8.0% from the earlier vary of seven.0%-9.0% to take into consideration exterior dangers.

Analysts say the brand new administration must take care of large quantity of debt from the present authorities’s pandemic borrowing, which might restrict his room to tackle extra debt to finance authorities initiatives or assist progress.

Reporting by Neil Jerome Morales and Enrico dela Cruz
Modifying by Ed Davies, Martin Petty

Our Requirements: The Thomson Reuters Belief Ideas.