WITH that one short comment, Bangko Sentral ng Pilipinas Gov. Eli Remolona gave a catch-all explanation why our personal (and national government) finances are where they are. Basically in the dumps.
Gov. Eli spoke at the recent presentation of the Development Budget and Coordinating Committee (DBCC) before the Senate Committee on Finance, laying the basis for the national government’s proposed P7.2 trillion budget for 2027.
He and his colleagues informed lawmakers how the economy is performing right now, and DBCC’s projections for economic growth, average inflation, possible direction of the peso-dollar exchange, among others.
His comment was in response to Sen. Erwin Tulfo’s question on how the country’s peso-dollar rate will improve, considering our exports are low. As of Wednesday, one US dollar was equivalent to P62.62. Oof!
Gov. Eli pointed out that a long-term solution was to increase our savings. But we are unable to do so, because, ‘mahirap sabihin ‘to, Senator, pero mayabang tayo eh. We have a consumption culture,’ he added.
(By the way, I’m particularly pleased that Gov. Eli has started explaining economic concepts in Filipino, which he began with the reporters covering the central bank. I know he was trying hard to do the same with our lawmakers to help them comprehend what’s happening in the economy.)
To explain further, high savings are important because banks can use this money to lend to companies to construct their factories, purchase needed equipment, and therefore create more jobs.
These also result in better infrastructure, like roads, ports and bridges for the country, reducing government’s reliance on foreign debt. High savings also lowers the trade deficit, and thus protects the peso from ‘wild gyrations,’ as our late colleague Ramon ‘Tommboy’ Tomeldan described the instability in the foreign exchange rate once upon a time.
According to the Philippine Statistics Authority, the country’s gross savings increased by some 9.4 percent to P8.4 trillion in 2025. Of those gross savings, households accounted for P973.14 billion, or just 11.6 percent of the total. Government, meanwhile, ‘recorded a dissaving of P23.61 billion.’
Back in the day, when automated teller machines and mobile phones had yet to be invented, we all had to save money to buy the stuff we wanted.
Mama was extremely fierce in this rule: if I wanted to get a fancy new dress from Rustans, a new pair of shoes from Shoemart, that cute stationery from National Bookstore, My Melody stickers from Gift Gate, or that big bag of Carol-Ann’s potato chips, I would have to pay for these from my own savings.
So every week that I got my baon, I would set aside a few pesos in my ceramic piggy bank. And with every hard-earned purchase, it felt like such a huge accomplishment. In a way, this was how I learned to delay my gratification, something I still practice to this day.
The only items Mama (and Lola) would not deprive me of were snacks, not chichiria, but food outside of the usual meal times. Whether it was the soft-serve ice cream or corn dog at the old Unimart, or a jumbo siopao from Kowloon, as in Papa’s case, I could have these.
Now that we have credit cards and electronic wallets on our mobile phones, we can’t help but buy stuff.
Of course, those impoverished can hardly save from their meager minimal wage earnings, so it’s understandable that they hardly have any money stashed away for a rainy day. (Although I suspect, the most resourceful of Nanays will have something set aside, even if these are not deposited in banks.)
But for many of us especially in the middle class, we will often buy more than what we need. A new Apple iPhone drops, and we’re there first in line, credit card in hand. A new pair of Adidas trainers appears in their store, and there we go tapping away on our e-wallets. A Michelin-starred restaurant, you say? And we’re off paying P10,000-P12,000 a pop for a gustatory feast.
Millennials, who absolutely must have their ‘work-life balance’, recharge by traveling abroad, so their harassed minds get a break by shopping for pre-loved bags at a vintage store in Tokyo. Never mind the huge bill they receive in their next SOA.
As per BSP data, credit card receivables in June 2016 were P224.58 billion. Ten years later, the amount has jumped to P1.29 trillion, over a five-fold increase.
The good news is, nonperforming loans have slipped to 5.28 percent of total credit card receivables in June 2026, from 6.14 percent in June 2016. Which means, consumers can still pay their credit card bills.
The bad news is that while higher consumer spending from these never-ending swipes and taps keep businesses humming, it means most of our income goes to paying our debt rather than savings.
Kasi, we like nice things. We like to eat well, travel, upgrade our phones even if the current one still works efficiently, wear the latest sneakers-and, apparently, we like doing all of these things even when the money to pay for them is still somewhere in the future.
But perhaps ‘mayabang’ isn’t really about wanting nice things. It’s about wanting to look like we can afford them-even when our bank accounts might be telling a very different story.
I remember when buying something meant first asking myself: Do I have the money to pay for this? If the answer was no, then it was back to the piggy bank. No tap, no swipe, no ‘Buy Now, Pay Later.’ Just plain old ‘let’s wait muna.’
And perhaps that’s the attitude we could use a little more of today-not just as individuals, but as a nation.
There’s nothing wrong with enjoying the fruits of our labor. In fact, we should. But if every peso we earn is already spoken for by the next purchase, the next trip, the next upgrade, then maybe we aren’t really enjoying our money. We’re merely borrowing tomorrow’s money to impress today’s neighbors.
So, yes, Gov. Eli, ‘mayabang tayo, eh.’
But perhaps the bigger problem is that we’ve become so accustomed to looking rich that we’ve forgotten the quiet satisfaction of actually having money in the bank.
And unlike a new iPhone or a designer bag, that’s one status symbol that doesn’t go out of style.
Congratulations are in order for Gov. Eli, who has just been graded ‘A-‘ by Global Finance, the third time he has received such a rating from the prestigious publication.
Despite the low inflows of foreign direct investments, reduced incomes from exports and tourism spending, an unusually high inflation rate, and a weakening peso, Gov. Eli and the Monetary Board have managed to keep the economy from falling off a cliff. (And yes, Juan, that’s why they are worth the huge salaries they are receiving. Not anyone can do their jobs.)
Said Global Finance founder and editorial director Joseph Giarraputo: ‘[Our] A Grade Central Bank Governors are leaders who have demonstrated the discipline, independence, and sound judgment needed to deliver stability while guiding their economies through an always unpredictable environment.’
So three cheers, Gov. Eli! Pa-Tsukiji ka naman! Hehe