December 29, 2024 | 12:00am
MANILA, Philippines — The Philippine Deposit Insurance Corp. (PDIC) has signed a memorandum of understanding (MOU) with the Kazakhstan Deposit Insurance Fund (KDIF) to boost bilateral relations for the mutual enhancement of deposit insurance systems.
The PDIC said the collaborative partnership is a first between the two agencies, which aims to strengthen their respective insurance systems.
“The partnership focuses on cross-border cooperation and reflects the shared commitment of the two jurisdictions to more effectively carry out the mandates of depositor protection and financial stability,” the PDIC said.
It added that the MOU establishes a framework for mutual knowledge sharing and collaboration, aimed at strengthening the effectiveness of the deposit insurance systems of the Philippines and Kazakhstan.
“The pioneering partnership will enable the two deposit insurance agencies (DIAs) to engage in a range of knowledge-sharing and collaborative activities, including information exchange, expert and staff exchanges, and joint research initiatives,” the PDIC said.
It explained that the knowledge sharing between the two jurisdictions covers the areas of deposit insurance, receivership and liquidation, risk management, and public awareness issues, among others.
Additionally, bilateral meetings will also be held to address emerging issues of mutual interest to the two DIAs.
To ensure sustained partnership, the MOU will be valid for a period of five years, with an option to extend for another five years upon mutual agreement, according to the PDIC.
The agency said the partnership underscores the growing importance of cross-border collaboration in today’s interconnected financial landscape and highlights both DIAs’ commitment to safeguard depositors and enhance public trust in deposit insurance.
PDIC president and CEO Roberto Tan and KDIF chairman Adil Utembayev signed the MOU on the sidelines of the 23rd Annual General Meeting of the International Association of Deposit Insurers (IADI) held in Tokyo, Japan on Nov. 11.
PDIC and KDIF are both active members of the IADI and the IADI Asia-Pacific Regional Committee.
The PDIC said the bilateral collaboration aligns with the IADI Core Principles for Effective Deposit Insurance Systems, particularly the Core Principle on cross-border issues.
IADI, a non-profit organization based in Basel, Switzerland, sets standards for deposit insurance systems and serves as the principal forum where deposit insurers from around the world meet to share knowledge and expertise. It also promotes international cooperation and guidance in the field of deposit insurance, provides training and technical assistance; and produces research and guidance on matters related to deposit insurance.
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