Central banker Espenilla succeeds Tetangco as BSP governor

Deputy Governor Nestor A. Espenilla Jr. is taking over as central bank governor when Amando M. Tetangco Jr. retires in July.

Espenilla was at Malacañang on Monday afternoon as presidential spokesperson Ernesto Abella announced his appointment on the sidelines of the 15th Cabinet meeting.

"President Rodrigo Duterte announced today the appointment of Nestor Espenilla as successor of Amando Tetangco Jr. as Bangko Sentral ng Pilipinas governor. After months of waiting, Espenilla's appointment is highly welcomed by the market, noting his deep and excellent monetary policy and banking regulatory experience," Abella read his statement in a video posted on RTVM's YouTube channel.

In a text message, Finance Secretary Carlos G. Dominguez III confirmed that Espenilla will take over as BSP governor. "Confirmed," he said, but did not elaborate.

In a separate post on his Twitter account, Dominguez said President Rodrigo R. Duterte made more than a good decision. "A very wise choice after a thorough evaluation of the future needs of the country and of all the candidates," he said.

The appointment of the next BSP governor, Nestor Espenilla, was announced in Malacañang earlier today. ????: Palace pic.twitter.com/wPAfuJo02U

— Trisha Macas (@trishamacas) May 8, 2017

In a separate post on his Twitter account, Dominguez said President Rodrigo R. Duterte made more than a good decision. "A very wise choice after a thorough evaluation of the future needs of the country and of all the candidates," he said.

Espenilla is the Bangko Sentral ng Pilipinas deputy governor for Supervision and Examination.

Asked if he has been notified of his appointment, Espenilla replied in the affirmative. "Yes, thanks."

"His work has helped strengthen the country's banking system and placed it among the healthiest in ASEAN. One could say that Espenilla has served as a co-pilot of Gov. Tetangco as he helped the country navigate through the different financial crises faced by the country and the region. Having been with the BSP for 36 years, Espenilla has all the right tools and experience to take on the governorship post," Abella said.

Tetangco is set to retire on July 2.

The outgoing BSP governor hailed Duterte's choice.

"We thank the President for his decision. The choice of an insider in the person of Deputy Governor Espenilla ensures the continuity of policy and thought in the BSP," he said in another text message.

To ensure a seamless transition, Tetangco has been vocal about his preference for a central bank insider to succeed him

"DG Espenilla is well respected in the banking community and highly regarded by other central banks and financial regulators both here and abroad," Tetangco said.

"He is also supported by the BSP family. I am confident that with him at the helm, the BSP will continue to be a pillar of support for the economy that should remain among the top performing economies in the world," he added.

Security Bank Corp. President and CEO Alfonso L. Salcedo Jr.also praised Espenilla's appointment. "Good choice. Nesting is very capable and competent," the banker said. — With a report by Trisha Macas/VDS, GMA News