AFP to be taught financial literacy
MANILA, Philippines — Troops and civilian employees of the Armed Forces of the Philippines (AFP) are now allowed to invest in government securities.
Bangko Sentral ng Pilipinas Governor Benjamin Diokno made the announcement yesterday following the signing of a memorandum of agreement among the AFP, BSP and Banco de Oro (BDO) Foundation Inc. led by Mario Deriquito.
Under the agreement, the signatories agreed to work together in crafting financial education tools in assisting members of the uniformed services as well as civilian military employees in managing their personal finances and become financially sound.
The pact expanded the memorandum of understanding to include personnel of the Philippine Air Force and the Philippine Navy.
“We talked about some possible instruments, a salary deduction for small treasury bills for soldiers,” Diokno said in a press briefing following the MOA signing held at Camp Aguinaldo.
Treasury Bills (T-Bills) are short-debt obligations backed by the Bureau of Treasury, with maturities ranging from three months to a year.
Diokno said payments for some loans, soldiers and civilian employees have an automatic deduction in government securities.
“I’m encouraging them to design some instruments for the people who are enlisted. There are many young soldiers, so they can start saving,” Diokno said.
It is a common experience among soldiers to fall victim to loan sharks and financial investment scams.
The program aims to equip AFP personnel with knowledge and skills to combat unhealthy money habits and achieve personal financial freedom. – With Lawrence Agcaoili