The Bangko Sentral ng Pilipinas (BSP) is proposing higher monetary penalties for banks and non-banks that fail to meet reporting standards for prudential and regulatory reports.
In a draft circular, the BSP has outlined a tiered penalty system for financial institutions supervised by the BSP.
For institutions with assets exceeding P400 billion, the penalty will be P5,000 per day.
Those with assets between P50 billion and P400 billion will face a daily penalty of P4,000.
Institutions with assets between P10 billion and P50 billion will incur a P3,000 daily penalty.
For those with assets between P1 billion and P10 billion, the penalty will be 2,000 per day, and for institutions with assets up to P1 billion, the penalty will be P1,000 daily.
In addition to monetary penalties, the BSP may impose non-monetary sanctions on BSFIs, including penalties on their directors, officers, and personnel as per existing laws and regulations.
The draft circular specifies that reports failing to meet standards will incur penalties for each day of non-compliance until they are corrected.
Reports submitted on time but found non-compliant will be allowed one-time resubmission before daily penalties apply.
If a report, initially compliant, is later found to have errors or misstatements, the revised submission will be penalized daily until corrected and compliant.
The BSP expects BSFIs to establish a robust reporting governance framework to ensure the integrity, accuracy, and timeliness of submitted reports.
This framework should support BSFI management in strategy formulation, risk management, and decision-making.
