The Bangko Sentral ng Pilipinas (BSP) has signed an agreement with the Philippine Space Agency (PhilSA) to use satellite imagery in assessing climate and environmental risks, a move aimed at strengthening financial stability and improving economic decision-making.
The memorandum of agreement, signed on 27 January 2026, will give the BSP access to PhilSA’s satellite images and related datasets. The central bank plans to use the information to identify areas exposed to climate hazards such as floods, droughts, and typhoons, and to measure how these risks could affect communities, businesses, and key industries.
Officials said the data will support monetary policy, financial supervision, and sustainability programs. By tracking environmental risks more closely, the BSP can better assess potential disruptions to economic activity, supply chains, prices, and credit conditions—factors that influence inflation and overall financial stability.
BSP assistant governor Pia Bernadette R. Tayag said the partnership reflects the central bank’s push to strengthen resilience through better data and technology. She noted that improved information allows authorities to act earlier and make more informed decisions, helping both the financial system and the broader economy prepare for climate-related shocks.
PhilSA director general Dr. Gay Jane P. Perez said that while space science and banking operate in different fields, both are focused on maintaining stability. She added that the agreement underscores both agencies’ commitment to managing climate risks through innovation and coordination.
Beyond data sharing, the BSP and PhilSA will work together on research, analytical tools, and training programs to promote the responsible use of satellite and geospatial data.
The collaboration marks a growing use of advanced technology in central banking, as policymakers seek more timely and detailed information to guide economic policy in an era of increasing climate uncertainty.
