Finance chief: Philippines can't be overconfident after Brexit vote

MANILA, Philippines — Outgoing Finance Secretary Cesar Purisima on Friday said the Philippines is in good stead following Britain's vote to leave the European Union (EU) but cannot be overconfident.

"The improvement in (Philippine) fundamentals over the past six years will put us in good stead but should not lull us into overconfidence," Purisima said in a statement posted on his Twitter account.

Purisima noted that the British exit, or Brexit, from the EU will affect all countries to varying degrees.

"It is true that we are less vulnerable than others but we are not immune and therefore we should continue to build on the gains of (President Benigno Aquino III)," Purisima said.

On Wednesday, outgoing President Benigno Aquino III awarded Cesar Purisima, his Finance chief, with the Order of Lakandula with the rank of Grand Cross or "bayani." Purisima thanked Aquino for his vision and leadership making good governance deliver great economics for the past six years.

The outgoing Finance secretary suggested that the country should continue to strengthen its macroeconomy and build on the confidence of markets.

Philippine Chamber of Commerce and Industry chairman Sergio Ortiz-Luis earlier said that the Brexit vote will only affect the Philippines if the United States, the largest economy in the world, will be affected.

Britain has voted to leave the 28-nation European Union in a historic referendum. Fifty-two percent voted for the country's departure from the union, while stay votes were at 48 percent. Voter turnout was at 72 percent.

Bank of England Gov. Mark Carney said the institution is prepared to deal with the market volatility that is under way following Britain's decision to leave.

Carney said the bank has "engaged in extensive contingency planning" and he is in close contact with Treasury chief George Osborne.

He added that capital requirements for Britain's largest banks are 10 times higher than before the start of the 2008 financial crisis. — with reports from Associated Press