Programs and technical assistance should not depend on passage of law in countries where legislative processes are slow and cumbersome. In this case, reforms to the bank resolution process, such as the authorization of bridge banking powers for Philippine Deposit Insurance Corporation, rely on the passage of legislation, and are still pending. The administrative increase in minimum capital requirements for the insurance subsector was embroiled in controversy and delay, but now appears to be required by law, but only following a 7-year delay. Therefore, where legal amendments are necessary or can make reforms more sustainable, programs and technical assistance should support drafting of legislation, but also enhance the regulatory framework that complements legislative changes.
Financial Market Regulation and Intermediation Program