Orbeta takes over as president of PDIC
SCREENGRAB from www.pdic.gov.ph
MANILA, Philippines—A Harvard University alumna and a financial industry regulator for three decades has been appointed as head of the state’s deposit insurance system, replacing private sector-groomed banker Valentin Araneta who now sits on the influential Monetary Board.
The Philippine Deposit Insurance Corp. (PDIC) on Wednesday announced the appointment of its 11th president and first female head Cristina Que Orbeta, who has been running the insurer in acting capacity since the end of June.
Orbeta’s appointment breaks a trend for the PDIC of having presidents appointed from outside. She replaces Valentin Araneta, who was PDIC’s president since 2011 before taking a seat on the Bangko Sentral ng Pilipinas (BSP) Monetary Board earlier this year.
PDIC’s president before Araneta was Jose Nograles Jr., a veteran banker and brother of former House Speaker Prospero Nograles.
The PDIC serves as the BSP’s co-regulator for the local banking industry, which is seen as one of the pillars keeping the Philippine economy healthy. The BSP regulates banks while they are in operation, while the PDIC takes over after a bank is closed to ensure that depositors get their money back and that creditors are repaid. Bank deposits are insured by the PDIC up to P500,000 per account.
The PDIC also plays a role in promoting consolidation in the financial system. Together with the BSP, it offers financial and regulatory incentives for small banks that wish to merge and form stronger institutions.
Orbeta has been with the PDIC since 2005, but draws much of her experience from her 24 years with the BSP, the financial system’s main regulatory agency.
Prior to joining the PDIC, Orbeta held senior positions at the Manila branches of foreign lenders’ Calyon Corporate and Investment Bank and Credit Lyonnais. Working for the state insurer, Orbeta was head of key departments that handled examination and resolution, and receivership and liquidation of closed banks.
She is also the current chair of the Advisory Council of the APEC-Financial Regulatory Training Initiatives (APEC-FRTI). Just this month, she was also elected as member of the Executive Council of the International Association of Deposit Insurers (IADI).
According to the PDIC, Orbeta also had brief stints at the National Census and Statistics Office and National Grains Authority.
She earned her bachelors degree in Mathematics at the University of the East, where she graduated with honors, before getting her masters degree in public administration from Harvard.
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