Tributes pour in for late BSP Governor Espenilla

The late BSP Governor Nestor A. Espenilla Jr. (Photo from the Bangko Sentral ng Pilipinas)

Economists, business executives, and economic journalists are mourning the demise of the late Bangko Sentral ng Pilipinas Governor Nestor Espenilla Jr., a reform-oriented banking regulator and central monetary chief who chose to spend the last months of his life taming local consumer price pressures while battling tongue cancer.

The influential Bankers Association of the Philippines (BAP) applauded the legacy of Espenilla, the first BSP chief to pass away while serving his term, in leading the banking industry in the age of financial reforms and digitization.

“His leadership resulted in progressive reforms that now support a stronger Philippine banking system, including the enactment of the New Central Bank Act. His focus on creating a safe, inclusive, and reliable payment system for the unbanked was evident with the establishment of the National Retail Payment System,” BAP said. “He leaves a legacy of a stronger and more inclusive banking system.”

Barely two years since assuming the post of BSP governor, Espenilla passed away on Feb. 23 at the age of 60.

He is a homegrown central banker who had served the local monetary institution since 1981. He took over the helm of the BSP in July 2017 as an appointee of President Rodrigo Duterte.

Economic Planning Secretary Ernesto Pernia said Espenilla’s demise was a big loss to the BSP and the country. He was “an exemplar of a dedicated public servant with high competence and integrity.”

The Economic Journalists Association of the Philippines (EJAP) said Espenilla was an “exemplary public servant who heeded the call of duty even when he was grappling with his own health issues.”

“Even as we mourn, we urge President Rodrigo Duterte to ease market uncertainties by promptly filling the void with someone just as suitable and committed to the BSP’s mandate of price and financial stability – one who can hit the ground running and ensure policy continuity,” EJAP said.

Security Bank said Espenilla’s “impeccable leadership and dedication strengthened public confidence to the Philippine banking industry.”

“As a public servant, Governor Espenilla led the banking industry into the unchartered waters of technological innovation and transformation. His 40-year experience as a central banker brought confidence from the industry to be unafraid in innovating itself for the unbanked and the general public,” the bank said.

Hans Sicat, country manager of ING Bank Manila branch, said Espenilla’s stewardship at the BSP was characterized by “thoughtful professionalism.”

“It was also timely that he led a regulatory institution through the digital disruption that’s occurring in the financial services industry. Embracing the wider engagement and potential consequences of the digital age has been one of his important reforms,” Sicat said.

“But much more than the policy advocacies he championed, I will personally miss Nesting, the man,” Sicat said. “I have some fond memories of our time together when we were in the same squad of Bravo Company, Field Artillery Unit, as ROTC cadets at the University of the Philippines. Even up to the recent months, he found time to respond to some of my text messages, despite being busy and battling sickness. He was also a good role model for the younger generation.”

Lawyer Francis Lim, president of Shareholders’ Association of the Philippines (SharePHIL) said it’s unfortunate that the six-year term of Espenilla – who had spent 38 years of his life in the BSP and risen from the ranks to take the helm as Governor in July 2017 – was cut short by his untimely death. 

“Even then, he will be remembered for his role in crafting regulatory policies to create a stronger and more responsive banking system through good governance, proper risk management, greater financial disclosure and increased capitalization,” said Lim, who was a former president of the Philippine Stock Exchange.

“He supported our cause for financial literacy and championed the proper use of technology to promote financial inclusion.  I have had the honor of knowing him as a friend and his humility amidst the accolades that were bestowed on him and his sense of humor in the midst of challenges in his work and health were worth emulating,” Lim added.

Voyager president and chief executive officer Orlando Vea lauded the late BSP chief as a “humble public servant, progressive central banker, and relentless champion of financial inclusion.”

“His legacy lives on in every effort that we all do to serve the unbanked, uncarded and underserved Filipinos with digital financial services,” Vea said.

Following Espenilla’s demise, the Monetary Board designated Deputy Governor Almasara Cyd Tuano-Amador as BSP Officer-in-Charge effective immediately until such time that President Rodrigo Duterte shall have designated an OIC or appointed a successor.

Espenilla is survived by his wife, Maria Teresita Festin Espenilla, daughter, Jacqueline Joyce and son-in-law, Ben Baltazar, sons Nikko Nestor and Leonardo Nestor and grandchild, Zev Eron.

His remains lie in state at The Arlington Chapel at Aeternum in Heritage Park in Taguig until the cremation on Saturday, March 2, at 10 am. /atm