The Bangko Sentral ng Pilipinas (BSP) is optimistic about the sustained rise of digital payment technologies, believing they will continue to improve access to financial services for unbanked Filipinos and micro, small and medium-sized enterprises (MSMEs).
BSP Deputy Governor Mamerto Tangonan attributed the significant progress in digital payments to the implementation of the central bank’s 2020-2023 Digital Payments Transformation Roadmap (DPTR), which benefited from collaboration with public and private sector partners.
He noted the sector’s exponential growth. “In 2013, we started with a mere one percent share of digital to total retail payments. Fast forward to 2022, and we saw a whopping 42.1 percent share in digital retail payments transactions,” he said.
“I believe we reached our 50-percent target by the end of 2023,” Tangonan said.
The impact of the digital transformation is evident at the ground level. Lorna Ortiz and Gloria Santiago, vendors at Carmona Public Market in Cavite, testified to the tangible benefits digital platforms under the Paleng-QR Ph Plus program have brought to their businesses.
“Nearly all vendors here in Carmona are using QR Ph codes. It is seamless, cashless, and directly credits my online transactions to my bank or e-wallet account,” Ortiz said.
Ortiz also noted the added advantage of easily tracking sales and overseeing transactions.
Santiago echoed the benefits of using the QR Ph code. “My past challenges in handling payments and transactions have been addressed with the adoption of this digital technology,” she said.
The Bills Pay Ph initiative, designed to unify the country’s fragmented bills payment system, allows users to pay bills regardless of whether they have an account with their billers’ payment service provider.
The initiative has two goals: streamlining financial processes and bridging the gap between those with and without access to financial services. Through these digital payment platforms, an even greater portion of the population can now actively participate in the formal economy.
The BSP said it is charting the next phase of the country’s digital journey with its 2024-2026 Digital Payments Transformation Roadmap.