The parties intend to exchange international experience and best practices to enhance the effectiveness of deposit insurance systems. This was reported by MiddleAsianNews.
The signing of the Memorandum of Understanding took place during the annual conference of the International Association of Deposit Insurers (IADI) in Lisbon, Portugal, where the president and CEO of PDIC, Roberto B. Tan, and the board member of the National Deposit Insurance Committee of Mongolia, Mr. Amar Lkhagvasuren, signed their names.
This agreement, which marks the first historical collaboration between the two deposit insurance organizations, emphasizes their commitment to strengthening depositor protection and promoting financial stability in their countries.
The memorandum will be valid for five years with the possibility of extension for the same period by mutual agreement of both parties.
The document lays the groundwork for cooperation, consulting, and the exchange of best practices in key areas such as deposit insurance, management of competitions and liquidations, resolution of banking issues, risk management, assessment of insurance premiums, and the implementation of information technologies for effective administration.
The agreement also implies the exchange of experiences in implementing international standards and recommendations in the field of deposit insurance, which will help both organizations adapt to changing financial risks.
Additionally, the memorandum provides for joint activities, including research projects, high-level visits, and the establishment of working groups to support training programs and technical exchanges.
The Philippine Deposit Insurance Corporation (PDIC) was established on June 22, 1963, under Republic Act No. 3591, aimed at protecting the interests of depositors and maintaining financial stability.
PDIC is a government agency under the Central Bank of the Philippines (Bangko Sentral ng Pilipinas) and actively participates in the financial sector, being part of various councils on financial stability and inclusion.
The Mongolian Deposit Insurance Corporation (DICoM) was founded based on the Law on Deposit Insurance, adopted by the Parliament of Mongolia on January 10, 2013, which laid the foundation for protecting the interests of depositors and ensuring the stability of the financial system. DICoM operates as a non-profit government institution and began its activities with an official opening ceremony on August 16, 2013.
