Philippine central bank expands relief measures for banks, borrowers after calamities

Banks will have access to relief measures during a specified period.

The Bangko Sentral ng Pilipinas (BSP) has enhanced regulatory relief measures to support banks and borrowers affected by calamities.

Banks may now grant any borrower in calamity-affected areas in the Philippines a grace period of up to six months for loan repayments, the central bank said in an announcement on 28 October 2025.

This institutionalizes a relief measure offered to victims of Typhoon Kristine, Leon, Ofel, and Pepito first rolled out in January.

The circular also states that victims or potential victims of specific calamities can claim relief for tropical typhoons that hit land or not, other natural hazards, or human-induced hazards.

Banks that are not yet members of PhilPaSSPlus or the BSP’s currency management system may withdraw cash directly from BSP Regional Offices and Branches until 31 December 2027.

During calamities, banks may also temporarily ease identification requirements for opening accounts and conducting financial transactions, subject to certain conditions.

Banks may also avail of certain relief measures during calamities during a specified period. These include financial assistance for banks’ own affected officers and employees; and temporary exclusion of loans of affected borrowers from past due and non-performing classifications.

During such a period, banks may also enjoy easier requirements for changes in banking schedules and temporary closures of banking offices, including delayed openings of approved branches; and staggered recognition of losses from physical assets impaired by calamities.