CEBU CITY, Philippines – The ongoing turmoil in the United States (US) economy following the collapse of investment bank Lehman Brothers will be favorable to the business climate of Cebu and the country.Cebu Bankers Club president Zosimo Lim said despite the exposure of seven Philippine banks, it is still business as usual for the banking industry in Cebu. 'We have been receiving inquiries, lots of questions about the stability of our banks but there are no big, unusual withdrawals from banks. So far, there is none,” he told reporters at the sidelines of the 11th regular weekly meeting of the Rotary Club of Cebu Fuente. Lim, also assistant vice president and branch head of the Export and Industry Bank, was invited as guest speaker of the Rotary to talk about the state of the banking industry in Cebu amid the crisis. Lim said the “economic turmoil” is still a consequence of the US banks' exposure in sub-prime mortgage, where loan applications of clients who do not have enough capacity to pay were still approved. Because the country has stricter requirements for loan applications, he said the country will have none, if not minimal problems, on mortgage transactions. Lim noted consumers do not need to worry about the effects of the economic crisis since the Bangko Sentral ng Pilipinas has required Philippine banks since Friday to report any unusual withdrawals. The bankers group also said clients do not need to worry about the exposure of seven Philippine banks in the Lehman Brothers. “The economy is stable. Nothing to worry. Banks can generate funds on their own. They just have some exposure on certain fund managers to augment some of their projects,” he said. As more investors express apprehension over the US economy, Cebu Bankers Club past president Emmanuel Calalang said companies such as those in the business process outsourcing industry will continue to move operations to the Philippines. “(In terms of investment opportunities), it is not just a silver lining but a golden lining. With recent events, they (investors) have understood that the foundation of the Philippine economy is stable and therefore, attracts more investments,” he said. Cebu will benefit from this trend since it is the next best BPO destination outside of Metro Manila. Lim said the US economic crisis, which affects global economy, may run five to eight years more following the normal economic “boom and bust” cycle. “But the Philippines will continue to be resilient. We have weathered the 1997 Asian financial crisis so anad na ta (we're used to it),” he said. Lim, however, noted that investors may still have a wait-and-see attitude until the crisis is resolved. “With the recession, they (investors) may do a double check before expanding...there will be adjustments on their investments,” he said. | 
