Global Finance gives Tetangco top grade

BANGKO Sentral ng Pilipinas Governor Amando M. Tetangco Jr. was among only eight central bankers across the globe who got the highest grade of “A” from Global Finance magazine.

In its Central Bank Report Cards 2016 released last week, New York-headquartered Global Finance gave “A” to Tetangco and seven other central bank heads: Karnit Flug (Israel), Riad Salame (Lebanon), Carlos Fernandez Valdovinos (Paraguay), Julio Velarde Flores (Peru), Elvira Nabiullina (Russia), Fai-Nan Perng (Taiwan), and Mark Carney (the United Kingdom).

The BSP and Taiwanese central bank governors garnered the highest score among the 20 central bankers in Asia graded by the report.

The BSP governor’s grade “represents an excellent performance,” said Global Finance.

Its annual Central Bank Report Cards grade 75 central banks governors on a scale of “A” to “F,” reflecting “success in areas such as inflation control, economic growth goals, currency stability and interest rate management,” Global Finance said.

A grade of “F” is the lowest, representing “outright failure” in the report being published since 1994.

With a score of “A-” or one notch lower than Tetangco and seven others were Ziad Fariz (Jordan), Agustin Carstens (Mexico), Abdellatif Jouahri (Morocco) and Janet Yellen (the United States).

“Central bankers today are tackling unprecedented challenges from political upheavals and low commodity prices as well as employment rates that remain weak despite record low interest rates. Wise monetary policy can mitigate the negative impacts of political and economic change, but requires stiff resolve to navigate competing interests and visions. As these scores demonstrate, some central bankers are more constrained by circumstance than others, while some have shown remarkable agility in driving policy,” Global Finance publisher and editorial director Joseph Giarraputo said.

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