MANILA – The collapse of negotiations between Greece and its creditors may affect equity and currency markets in the country, but the Bangko Sentral ng Pilipinas is hopeful that there will be ways to weather any possible fallout.
“Asian emerging market economies may be affected by thus, but there is fundamental robustness in domestic economies, including in the Philippines, that should help shield us from any fallout,” Bangko Sentral ng Pilipinas (BSP) Governor Amando M. Tetangco Jr. said in a text message to the Philippine Daily Inquirer.
Greece has been refused of additional emergency financing by the European Union creditors and the International Monetary Fund (IMF).
Athens on Monday announced that it would restrict bank withdrawals following the country’s implementation of capital controls to protect its banking sector.
Bank withdrawals will be restricted to prevent further collapse of Greek banks.
Its potential exit from the euro zone may trigger big losses for investors globally.
Despite this, Tetangco is hopeful that the country will survive the effects of the global crisis just as it did in the past.