An advocacy group championing consumer rights has called on local governments to encourage their constituents at the grassroots to shift to cashless transactions, saying the benefits of digital technology must be felt by all.
“The use of technology should be extended to market vendors, community shopkeepers, tricycle operators and drivers, farmers, and small merchants,” said lawyer Christopher “Kit” Belmonte, co-convenor of CitizenWatch Philippines.
“Convenience is just one thing. Aside from this, the adoption of cashless payments like GCash would open up to other financial services like loans, savings, investments, and others.”
According to Belmonte, there is a significant amount of economic activity going on in markets, in public transportation, and in the fields.
“These are still mostly cash-based, but we believe they will shift to cashless once they see the benefits and, more importantly, once they are shown how,” he said.
Belmonte is urging local executives to work with the Bangko Sentral and the Department of the Interior and Local Government as it rolls out Paleng-QR Ph Plus, which aims to promote cashless payments in public markets and local transportation particularly tricycles across
the country.
Paleng-QR was inspired by student policy competition finalists from the University of the Philippines-Los Baños in 2021.
The program targets to occasion change in markets and public transport, because these are basic components of an average Filipino’s typical payment pattern, said the Bangko Sentral on its website.
“Until a market vendor and a tricycle driver can accept digital payments, transitioning to cashless transactions would be difficult for an average Filipino consumer,” the BSP added.
“Some stores are already using QR codes to facilitate cashless purchases. They can scan it with their smartphones and confirm payments in seconds. No more exchanges of cash and finding change. It’s so convenient,” Belmonte said.
“Also, important for both seller and buyer is the digital record of the transaction,” It’s also safe, he added. “No more risks of cash being taken by thieves.”
Way of the future
“The pandemic-induced lockdowns introduced millions of Filipinos to the benefits of cashless payments,” said Belmonte. “Consumers learned
to trust cashless transactions even after their initial hesitation.
Eventually, many of us now prefer going cashless in our daily purchases.”
This experience does not have to be limited to those working in offices or bigger businesses, or to the younger generation who are
digital natives. Vendors and drivers, once they experience going cashless, will likely prefer this over their usual ways, according to
CitizenWatch.
“This is a great opportunity to introduce all Filipinos to the formal financial system, which can eventually provide them opportunities to start and grow their business,” Belmonte said.