Connect with us

Hi, what are you looking for?

Economy

Central bank pushes for faster digitalization of financial services

THE BANGKO SENTRAL ng Pilipinas (BSP) will continue pushing reforms and policies to spur the digital transformation of the country, especially in financial services, to push inclusion, its chief said on Friday.

Among the measures cited by BSP Governor Benjamin E. Diokno were one recommended by the Financial Inclusion Steering Committee (FISC), such as the Open Access to Data Transmission bill and an order to liberalize access to satellite technology for broadband services. The BSP is a member of the FISC.

Mr. Diokno said these initiatives aim to close the country’s internet infrastructure gaps to expand broadband connectivity and eventually ramp up financial inclusion.

“Through digitalization, we help create opportunities for people to improve their lives and participate in the economic and financial system. Through digital payments, we also promote financial inclusion. Digital payments help consumers engage in easier and safer economic activities,” Mr. Diokno said in his speech during the “Ulat ng BSP sa Bayan” forum on Friday.

“On a wider scale, it also helps reduce poverty and hunger, promote good health and well-being, ensure quality education, decent work, and gender equality, develop sustainable communities, and a lot more,” he added.

The central bank wants 50% of financial transactions in terms of volume and value to be done digitally by 2023, with at least 70% of Filipino adults having accounts with financial institutions.

Mr. Diokno said electronic money transactions done via PESONet and Instapay surged last year amid the ongoing public health crisis.

PESONet is an electronic fund transfer service under the National Retail Payment System of the central bank that facilitates batch fund transfers for amounts beyond P50,000. The service allows fund transfers to be credited to the receiver by the end of the banking date.

The volume of PESONet transfers skyrocketed by 376% year on year to 15.3 million in 2020 while the value nearly tripled to P951 billion.

Meanwhile, the volume of InstaPay transactions likewise surged by 459% to 86.7 million while the value stood at P463 billion, up 340% year on year.

“The COVID-19 (coronavirus disease 2019) pandemic has indeed unexpectedly catalyzed the rapid acceleration of digital transformation. The BSP took this opportunity to advance initiatives to push digitalization in the financial industry further,” Mr. Diokno said. — B.M. Laforga

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Get the daily email that makes reading the news actually enjoyable. Stay informed and entertained, for free.
Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

Latest

Economy

HOW the new administration under President Ferdinand R. Marcos, Jr. and the 19th Congress deals with alleged irregularities involving the Procurement Service of the...

Economy

PRESIDENT Ferdinand R. Marcos, Jr. will not interfere in the investigation into the alleged unauthorized attempt to import sugar amid tight local supply, his...

Economy

THE NATIONAL Telecommunications Commission (NTC) has directed three of the country’s major telecommunication companies to “take appropriate action” on the appeal of a lawmaker...

Economy

A SOLON has asked the executive branch to ensure the inclusion of a P25-billion additional fund in the 2023 budget to cover the increased...

Economy

A BILL that seeks to provide scholarship grants to public school teachers and their children has been filed at the Senate to entice more...

Economy

A HOUSE representative from the Bangsamoro region has vowed to push for the immediate activation of a coordinating body between the Philippine Congress and...

You May Also Like

Investing

Having a good Instagram marketing agency to back up your Instagram account is an absolute must going into the new year. With competition stronger...

Economy

Ivermectin, an existing drug against parasites including head lice, has had a checkered history when it comes to treating COVID-19. The bulk of studies...

Investing

Insomnia is the most common sleep disorder in the global population. Therefore, it is a problem that many people suffer or have suffered throughout...

Investing

Instagram still holds the top spot for social media in terms of building brand reputation and expanding business potential. Every day, more and more...

Disclaimer: SmartRetirementReport.com, its managers, its employees, and assigns (collectively "The Company") do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2021 SmartRetirementReport. All Rights Reserved.