Section 13Sec./Art. 13

Monetary Stabilization Policy and Tools. The Bangko Sentral, pursuant to the authority of the Monetary Board under Section 61 of Republic Act No. 7653, to constantly assess price developments and outlook, and based on its analysis and evaluation of inflationary pressures, and its policy instruments to attain and maintain price stability, and taking into consideration the peculiar characteristics of Islamic banking, may require Islamic banks to maintain reserves against their deposit accounts and funds held in trust or under investment accounts.

The Monetary Board may further identify and authorize the issuance by the Bangko Sentral of other appropriate instruments and measures necessary to implement its monetary policy, including instances of abnormal movements in the price level, taking into account the peculiar characteristics of Islamic banking.