• The Bangko Sentral ng Pilipinas (BSP) mopped up P1.72 trillion of excess liquidity from the financial system as of end-January 2024 with the BSP bills siphoning off most of the domestic money supply.
• The BSP absorbs excess liquidity to control inflation and for active liquidity management. Basically, it removes money from banks to park these funds in the BSP’s interest-earning monetary operations and to influence the underlying demand and supply conditions for central bank money.
• During the period, the BSP securities facility absorbed about 45.27 percent of the total or P778.27 billion.

https://mb.com.ph/2024/2/19/article-1888