Philippine monetary policy and aspects of the financial market: a review of the literature

The literature on Philippine money and credit reflects very much the historical development of the financial market and the evolution of credit and related policies. It also reflects, the growing expertis e in the field with a slowly increasing numbem of economists returning home from their graduate studies. Early works dealt with the very basic question of what type of monetaz_y system suits the Phil_ppines and what type of central bank to establish. These studies_were made by invited economic missions from the United States and by Filipino central and othem bankers. Among them was Miguel Cuaderno, the first gover_or of the Philippine Central Bank (CB). He worked closely wi'_h these missions either as chair_nan or as head of the Philippine panel. The missions' _eports and Cuader_o's own writings showed similar perception of the problems of development finance, i.e._ the need to balance coordination and independence, and to exe_else restraint in monetary expansion as a source of finance fom development.