The Central Bank of the Philippines issued guidelines establishing an independent review mechanism for issues raised by banks arising from regular, special, or overseeing examinations, implementing Section 25 of the New Central Bank Act. The framework creates an Independent Review Committee (IRC) that evaluates and decides on qualifying issues and reports directly to the Monetary Board, without limiting the central bank’s ability to take supervisory and enforcement actions. Review is limited to “significant and serious supervisory issues” affecting a bank’s safety and soundness, including potential unsafe or unsound banking and “major violations” with material adverse impact or abnormal risk and possible high-level penalties or escalated supervisory actions. The mechanism excludes banks under the Prompt Corrective Action framework, banks under conservatorship, receivership or liquidation, and matters relating to inquiries into financial accounts and disputed-funds holds under the Anti-Financial Account Scamming Act. Banks must file a request within 10 banking days of specified examination milestones or notices of serious supervisory concern, submit a board-authorised and duly signed request with supporting documents, and pay a non-refundable processing fee debited from the bank’s demand deposit account at the central bank (PHP 500,000 for universal/commercial/Islamic banks, PHP 300,000 for digital banks, PHP 200,000 for thrift banks, and PHP 100,000 for rural/cooperative banks). The IRC’s decision, as approved by the Monetary Board, is transmitted to the bank. The circular takes effect 15 calendar days after publication in the Official Gazette or in a newspaper of general circulation and supersedes prior inconsistent issuances.
Central Bank of the Philippines 2025-12-10
Central Bank of the Philippines establishes an independent review process for significant bank examination issues
The Central Bank of the Philippines has issued guidelines for an independent review mechanism under Section 25 of the New Central Bank Act, establishing an Independent Review Committee (IRC) to evaluate significant supervisory issues affecting banks' safety and soundness. The IRC reports directly to the Monetary Board and excludes banks under certain corrective frameworks. Banks must submit requests within 10 banking days of examination milestones, with a non-refundable fee based on bank type.