FINANCIAL regulators in the country are looking to streamline the process of bank mergers, consolidations, and acquisitions (MCA) in the country to promote more of these in the sector.

The Bangko Sentral ng Pilipinas (BSP), Philippine Deposit Insurance Corporation (PDIC), Securities and Exchange Commission (SEC), Cooperative Development Authority (CDA), and the Philippine Competition Commission (PCC) have signed a multi-agency agreement to synchronize requirements and processes for banks who wish to undergo MCA processes in the local scene.

The regulators agreed on a harmonized list of requirements for MCA proposals of banks which will effectively cut in half the number of documentary requirements from 58 to only 30.

The synchronized timelines and the elimination of duplicate functions among the concerned agencies will significantly reduce the total processing time of MCA proposals from an average of about 160 business days to only 55.

The agreement was signed by BSP Governor Benjamin E. Diokno, PDIC President and CEO Roberto B. Tan, SEC Chairperson Emilio B. Aquino, CDA Chairperson Joseph B. Encabo, and PCC Chairperson Arsenio M. Balisacan in a virtual ceremony.

The Memorandum of Agreement on the Procedures for Applications for Mergers, Consolidations, and Acquisition of Banks is the culmination of the MCA Project, which is a collaboration of financial regulators involved in the processing of MCA proposals of banks.

The local financial regulators said the project is in support of the government’s thrust of promoting ease of doing business.

“The agreement embodies the responsibilities and commitments of each of the regulators on the simplified requirements and streamlined procedures and timelines in processing of MCA applications,” financial regulators said in a joint statement.

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