Marcos Administration Responds to DuterteS Gold Reserve Allegations

Manila – On Monday, the Marcos administration responded to allegations made by former President Rodrigo duterte that President Ferdinand Marcos Jr. had stolen and sold the country’s gold reserves, impacting the Philippine peso.

Official Rebuttal and Context

Presidential Communications Office (PCO) undersecretary Claire Castro addressed the claims, stating that the selling of gold “is just a regular activity to pump up the economy.” She further elaborated, “even during the time of the former president, this had been the work of the BSP (Bangko Sentral ng Pilipinas) — doesn’t he know this?” Castro questioned the timing of duterte’s renewed focus on this matter, noting, “This issue has been addressed since October 2024. What baffles me is why this issue is being brought up again and again by former president Duterte. Doesn’t he have economic experts to tell him directly about the regular activities of the BSP?”

Castro drew a parallel between Duterte’s accusations and his past controversial statements, referencing his campaign promise to jet ski to the Spratly Islands. “They (his supporters) might defend him and say it’s a campaign joke by former president Duterte. Didn’t we learn anything from his jet ski promise? When we believed him we were called stupid …But anyway, we will take this seriously so there will be no fake news, especially from those who still listen to and believe him,” Castro stated.

Central Bank’s Position

The Bangko Sentral ng Pilipinas (BSP) also refuted duterte’s claims. The BSP clarified that “The country’s gross international reserves (GIR), including gold, are held and managed solely by the BSP in order to maintain the international stability and convertibility of the Philippine peso and meet any foreseeable net demands on the Bangko Sentral for foreign currencies.” The central bank emphasized that “The country’s GIR is not used for any other purpose other than meeting the country’s forex requirements.” The BSP reiterated that gold transactions are part of its mandate, similar to other central banks managing their reserves. “When the BSP sells gold,the proceeds revert to and stay within the GIR. Last year, the GIR rose to $106.3 billion from $103.8 billion in 2023,” the BSP reported.

The BSP further explained its strategy of adjusting gold holdings to maintain an optimal level using standard portfolio management principles. Given that “Gold prices frequently enough move opposite to other assets,making it a useful hedge,” central banks use it as a tool to balance market fluctuations. Though,the BSP acknowledged that excessive gold holdings are avoided due to volatility,low interest earnings,and storage costs.

Senate and House Leaders Weigh In

Senate President Francis Escudero also responded to Duterte’s broader accusations that President Marcos was displaying dictatorial tendencies. “I do not agree and do not subscribe to his accusation at all,” Escudero stated. He further noted the inconsistency in criticizing President Marcos as both a weak leader and an aspiring dictator.

House Assistant Majority Leader Zia Alonto Adiong echoed this sentiment, stating he saw “no indication or characteristic of President Bongbong Marcos that I can say is leaning towards or leading towards dictatorship.” Adiong emphasized that “He allows all the agencies to work according to [their] mandates. That’s not an indication or that’s not even an attribute of a dictator.”

Duterte’s Original Allegations

Duterte’s initial statements were made during a public rally in Mandaue City, where he accused the Marcos family of stealing and selling the nation’s gold reserves, which he alleged contributed to the weakening of the Philippine peso. He urged the public to demand openness and warned of a potential return to dictatorial rule under Marcos.

Conclusion

The allegations made by former President Duterte against President Marcos Jr. regarding the handling of the country’s gold reserves have been met with strong rebuttals from the Marcos administration, the Bangko Sentral ng Pilipinas, and key figures in the Senate and House of Representatives. The claims of gold theft and dictatorial leanings have been widely refuted, with officials emphasizing the standard practices of the BSP and the President’s respect for the separation of powers. stay informed and seek data from credible sources to form your own informed opinion on this developing situation.

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