International Monetary FundWorld Bank2013-10-032013-10-032011-02https://hdl.handle.net/10986/16057The global economic and financial sector crisis of 2008-09 became a stark reminder to countries around the world of the need for an effective process for maintaining the confidence of depositors and resolving troubled financial institutions with the least amount of adverse impact on the financial sector and the community served by the institutions. The role of deposit insurance was highlighted during this difficult time. Nations without a formal system found the need to reassure their citizens by announcing formal government guaranties. Nations with established systems were not immune from the public's concern and as a result many increased the allowable coverage. The Philippines, although somewhat immune from the global crisis, none the less felt the impact of the crisis and responded, as did other countries, by taking steps to address the possible impact of the crisis by bolstering depositor confidence. The Philippines stands out among its Asian neighbors at being in the forefront of deposit insurance. Long before deposit insurance became popular at the peak of the Asian financial crisis of the late 1990's, the Philippines already had an established formal deposit insurance system. The Philippine Deposit Insurance Corporation (PDIC) is a government instrumentality. It was established in June 1963 with the passage of Republic Act (RA) 3591. The role of PDIC at that time was to help build the banking sector by encouraging citizens to save and to deposit those savings in the formal banking system. It was to do this by assuring depositors of the safety of their deposits by providing a government sponsored insurance of up to a P 10,000 per depositor in the event of a bank failure. The underlying motivation was to promote a safe and sound banking system and to foster public confidence in it.en-USCC BY 3.0 IGOACCESS TO DEPOSITACCOUNTINGACCURATE INFORMATIONADMINISTRATIVE PROCEDURESALL LIABILITIESAMOUNT DUEASPECTS OF DEPOSIT INSURANCEASSET DETERIORATIONASSET RECOVERIESASSOCIATION OF DEPOSIT INSURERSAUDIT COMMITTEEAUDITORSAUDITSBANK CLOSUREBANK CUSTOMERSBANK FAILUREBANK FOR INTERNATIONAL SETTLEMENTSBANK LIQUIDATIONSBANK OWNERSBANK SECRECYBANK SUPERVISORSBANKING ASSETSBANKING LAWSBANKING PRACTICEBANKING PRACTICESBANKING SECTORBANKING SERVICESBANKING SUPERVISIONBLANKET GUARANTEEBLANKET GUARANTEESBONDBRANCH NETWORKBUSINESS BORROWERCAPITAL MARKETSCENTRAL BANKCLAIMCLAIM FORMSCLOSED BANKSCODE OF CONDUCTCODE OF ETHICSCOMMERCIAL BANKSCONFLICTS OF INTERESTCOOPERATIVE BANKSCORPORATE GOVERNANCECOST OF DEPOSIT INSURANCECOVERAGE AMOUNTCOVERAGE AMOUNTSCOVERAGE LIMITCOVERAGE LIMITSCREDIBILITYCREDITORSCREDITSCRIMINAL ACTSDEFALCATIONDEFAULTSDEPOSITDEPOSIT ACCOUNTDEPOSIT ACCOUNTSDEPOSIT COVERAGEDEPOSIT INSURANCEDEPOSIT INSURANCE AGENCIESDEPOSIT INSURANCE CLAIMSDEPOSIT INSURANCE CORPORATIONDEPOSIT INSURANCE COVERAGEDEPOSIT INSURANCE COVERAGE LIMITDEPOSIT INSURANCE FUNDDEPOSIT INSURANCE PROGRAMDEPOSIT INSURANCE REGIMEDEPOSIT INSURANCE SYSTEM DESIGNDEPOSIT INSURANCE SYSTEMSDEPOSIT INSURERDEPOSIT TAKING INSTITUTIONDEPOSIT TAKING INSTITUTIONSDEPOSITORDEPOSITOR CONFIDENCEDEPOSITORSDEPOSITORYDEPOSITSDEPOSITS OF BANKSDERIVATIVEDERIVATIVE TRANSACTIONSDEVELOPMENT BANKSDISCLOSURE OF INFORMATIONEFFECTIVE DEPOSIT INSURANCEEFFECTIVENESS OF DEPOSIT INSURANCEESTATEEXTENT OF COVERAGEFAILING BANKFAILURE RESOLUTIONFEDERAL DEPOSIT INSURANCEFEDERAL DEPOSIT INSURANCE CORPORATIONFINANCIAL CONDITIONFINANCIAL CRISISFINANCIAL DIFFICULTIESFINANCIAL DIFFICULTYFINANCIAL INSTITUTIONFINANCIAL INSTITUTIONSFINANCIAL STABILITYFINANCIAL SYSTEMFORBEARANCEFOREIGN BANKSFOREIGN BRANCHESFORMAL BANKING SYSTEMFORMAL DEPOSIT INSURANCEFORMAL DEPOSIT INSURANCE SYSTEMFRAUDGENERAL OBSERVATIONSGOOD FAITHGOVERNANCE STRUCTUREGOVERNMENT DEPOSITSINDIVIDUAL DEPOSITINDIVIDUAL DEPOSITORSINFLATIONINFORMATION DISSEMINATIONINSOLVENTINSTITUTIONS FOR DEPOSITINSURABLE DEPOSITINSURANCE FUNDINSURED BANKINSURED BANKSINSURED COVERAGEINSURED DEPOSITINSURED DEPOSITORSINSURED DEPOSITORY INSTITUTIONINSURED DEPOSITORY INSTITUTIONSINSURED DEPOSITSINTERNATIONAL BANKINTERNATIONAL SETTLEMENTSINTERPRETATION OF LAWSINVENTORYINVENTORY OF ASSETSINVESTMENT POLICYJUDGESJUDICIAL PROCESSJUDICIARYJURISDICTIONSLEGAL ACTIONSLEGAL FRAMEWORKLEGAL PROTECTIONLEGISLATIONLENDERLEVEL OF COVERAGELIABILITYLIMITED COVERAGELIMITED COVERAGE SYSTEMLINES OF CREDITLIQUIDATIONLIQUIDATION OF ASSETSLIQUIDITYLOANLOAN ASSOCIATIONSLOAN PAYMENTSLOCAL GOVERNMENTMANDATEMANDATESMANDATORY DEPOSIT INSURANCEMANDATORY PARTICIPATIONMONETARY FUNDMORAL HAZARDMORAL HAZARD RISKMORTGAGEMORTGAGE BANKSNUMBER OF BANKSOBJECTIVES FOR DEPOSIT INSURANCEOBLIGATIONS TO DEPOSITORSOPEN BANKOPEN BANKSPENALTIESPRIVATE BANKSPROMPT CORRECTIVE ACTIONPROMPT CORRECTIVE ACTIONSPROMPT PAYMENTPRUDENTIAL REGULATIONSPUBLIC CONFIDENCEPUBLIC FUNDSPUBLIC POLICYRECEIVERRECEIVERSHIPRECORD KEEPINGREGULATORY SYSTEMREHABILITATION PLANREHABILITATION PLANSRESERVE REQUIREMENTSRIGHT OF SUBROGATIONRISK MANAGEMENTRISK TAKINGROLE OF DEPOSIT INSURANCERURAL BANKSSAFETY NETSALARIESSALARYSAVINGSSAVINGS BANKSSETTLEMENTSMALL BUSINESSSMALL BUSINESSESSMALL DEPOSITORSSOVEREIGN GUARANTEESPECIAL ASSESSMENTSSUBROGATIONSUPERVISORY POWERSTRANSFER OF DEPOSITSUNINSURED DEPOSITORUNSOUND BANKINGVOLUME OF DEPOSITSWorld Bank10.1596/16057