Despite a sharp economic slowdown in the third quarter, BPI expects the Bangko Sentral ng Pilipinas (BSP) will not implement a 50-basis-point rate cut, warning it could send the wrong signal to the market.
BPI CEO Jose Teodoro Limcaoco described such a move as “drastic” and cautioned that cutting rates faster than the U.S. Federal Reserve could weaken the peso further, which recently hit a record low of ₱59.17 against the dollar.
Limcaoco declined to speculate on potential BSP intervention in the foreign exchange market but emphasized that banks must remain vigilant in monitoring suspicious transactions.
He noted that despite domestic headwinds, the banking sector, including BPI, is expected to grow in 2026, with sufficient liquidity and continued expansion in consumer and institutional lending.
BPI has already achieved its goal of having consumer loans make up 30 percent of its total portfolio, while its institutional loan book grew 10 percent, and the bank anticipates its total loan book could expand up to 13 percent depending on GDP growth.
Source: PhilNews24 | November 14, 2025
