Regulatory Alerts2024-03-18
Single Reserve Week from 22 March 2024 to 04 April 2024 and the Corresponding Computation
The Office of the Deputy Governor issued Memorandum No. M-2024-008 to instruct all banks and quasi-banking institutions on reserve requirement computations for the specified period. The directive consolidates the reserve weeks of 22 March to 28 March and 29 March to 04 April 2024 into a single reserve week due to Maundy Thursday and Good Friday being proclaimed as regular holidays. Consequently, the reserve position computed on 27 March 2024 is carried over through 31 March 2024, and the combined period is used to determine any abuse of the privilege to offset reserve deficiencies against excess reserves.
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OFFICE OF THE DEPUTY GOVERNOR I FINANCIAL SUPERVISION SECTOR MEMORANDUM NO. M-2024-___ To : ALL BANKS AND NON-BANKS WITH QUASI-BANKING FUNCTIONS In computing the reserve requirement for reference weeks 22 March 2024 to 28 March 2024 and 29 March 2024 to 04 April 2024, please be guided by the following:
- The following dates are proclaimed as regular holidays, thus considered as non-reserve days: Under Proclamation No. 368 dated 11 October 2023 • 28 March 2024, Thursday – Maundy Thursday • 29 March 2024, Friday – Good Friday
- Accordingly, the reserve position as computed at the close of business of 27 March 2024 shall be carried over up to 31 March 2024.
- The reserve weeks 22 March 2024 to 28 March 2024 and 29 March 2024 to 04 April 2024 shall be considered as a single reserve week for the purpose of determining "abuse" of the privilege of offsetting reserve deficiencies against excess reserve during that reserve week. For Information and guidance. CHUCHI G. FONACIER Deputy Governor 18 March 2024 Subject : Single Reserve Week from 22 March 2024 to 04 April 2024 and the Corresponding Computation for the Single Reserve Week Digitally signed by DG Chuchi G. Fonacier on 18 March 2024