MALACAÑANG

MANILA

MEMORANDUM ORDER NO. 396

CREATING THE COOPERATIVE

BANKING COMMITTEE

WHEREAS, the institutionalization of a strong rural financial system consisting of cooperative banks can stimulate and accelerate sustainable countryside development;

WHEREAS, the private sector, specifically the Cooperative Rural Banks Federation of the Philippines, Inc. (BANGKOOP), has launched the Cooperative Banking Program to pursue this thrust;

WHEREAS, the private sector needs the support of the Government to carry out the said Program;

NOW, THEREFORE, I, CORAZON C. AQUINO, President of the Philippines, by virtue of the powers vested in me by law, do hereby order:

SECTION 1. There is hereby created the Cooperative Banking Committee under the Office of the President to be composed of the following:

Director Vicente R. Jayme Asian Development Bank
—
Chairman

President of the Land Bank of the Philippines
—
Co-Chairman

Chairman of the Cooperative Development Authority
—
Member

Governor of the Central Bank of the Philippines
—
Member

Secretary of the Department of Agriculture
—
Member

Secretary of the Department of Agrarian Reform
—
Member

Chairman of the National Farmers Supreme Council
—
Member

Chairman of the BANGKOOP
—
Member

SEC 2. The Cooperative Banking Committee shall have the following functions:

a) Assist in the organization of new cooperative banks in areas where the cooperative movement has shown the ability and the readiness to establish a cooperative bank;

b) Strengthen the existing cooperative banks through capital adequacy, liquidity assistance and capability building; and

c) Coordinate with government and non-government organizations in promoting cooperative banking in the rural areas.

SEC 3. The Committee shall submit regular quarterly reports on the results of its activities to the President through the Office of the Executive Secretary.

SEC 4. The Cooperative Development Authority shall provide the appropriate technical and secretariat support to the Committee.

SEC 5. The Committee is authorized to call upon any department, bureau, office, agency or instrumentality of the government, including government-owned and controlled corporations, for such assistance as it may need in discharging its functions.

SEC 6. This Memorandum Order shall take effect immediately.

DONE in the City of Manila, this 19th day of September, in the year of Our Lord, nineteen hundred and ninety-one.

(Sgd.) CORAZON C. AQUINO
President of the Philippines

By the President:

(Sgd.) FRANKLIN M. DRILON
Executive Secretary

Source: CDAsia