PDIC, IDIC CROSS-BORDER PARTNERSHIP. The Philippine Deposit Insurance Corporation (PDIC) and the Indonesia Deposit Insurance Corporation (IDIC) entered into a cross-border cooperation agreement on October 29, 2015 in Kuala Lumpur, Malaysia. IDIC Chairman Halim Alamsyah and PDIC President Cristina Que Orbeta signed the Memorandum of Understanding (MOU) which aims to enhance the effectiveness of both agencies' deposit insurance systems and enable them to carry out their mandates to protect depositors through information and expertise sharing and bilateral cooperation.

The Philippine Deposit Insurance Corporation (PDIC) and the Indonesia Deposit Insurance Corporation (IDIC) signed a Memorandum of Understanding (MOU) to promote cross-border cooperation between the two deposit insurance agencies to enable them to more effectively carry out their mandates to protect depositors in both jurisdictions. The MOU was signed by PDIC President Cristina Que Orbeta and IDIC Chairman Halim Alamsyah on October 29, 2015 during the 14th International Association of Deposit Insurers (IADI) Annual General Meeting and Annual Conference and the 46th IADI Executive Council Meeting held in Kuala Lumpur, Malaysia.

The MOU on cross-border cooperation allows both agencies to share knowledge and experiences to mutually enhance the effectiveness of their respective deposit insurance systems. Under the MOU, the PDIC and IDIC will foster enhanced cooperation through exchange of information, prompt response to technical inquiries, effective support for exchange of experts and staff, conduct of bilateral meetings between the two organizations, and other activities that promote collaboration in addressing relevant cross-border issues. The agreement is valid for a period of five years and may be extended upon joint consent of the parties.

The partnership also aims to further enhance the compliance of both the PDIC and IDIC with the Core Principles for Effective Deposit Insurance Systems formulated by the IADI, particularly on cross-border issues. Both the PDIC and IDIC are members of the IADI.

President Orbeta, citing globalization and the interconnectedness of the global financial system, stressed the importance and significance of cross-border cooperation in protecting the depositing public and promoting financial stability. She said the partnership with Indonesia alongside other Asian countries is a testimony to PDIC's commitment to share technical expertise with its neighbors and enhance regional cooperation.

The cross-border agreement with IDIC is the seventh for PDIC, following its earlier agreements with the deposit insurance agencies of Japan, Korea, Malaysia, Thailand, United Kingdom and the United States.

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The Philippine Deposit Insurance Corporation (PDIC) was established on June 22, 1963 by Republic Act 3591 to provide depositor protection and help maintain stability in the financial system by providing permanent and continuing deposit insurance. Effective June 1, 2009, the maximum deposit insurance coverage is P500,000 per depositor. All deposit accounts by a depositor in a closed bank maintained in the same right and capacity shall be added together. A joint account shall be insured separately from any individually-owned deposit account.

PDIC news/press releases and other information are available at the website, www.pdic.gov.ph.