BSP, IMF hold Financial Stability Conference in Cebu

With its institutionalized role, the BSP established the Payments and Currency Management Sector (PCMS) in 2021 to lead the Bank’s supervisory work in this area. The BSP, through the PCMS, pioneered innovative strategies in the digitalization of payments and accelerated the operationalization of the Digital Payments Transformation Roadmap (DPTR) for 2020-2023. Under this three-year blueprint, the BSP aims to see half of the retail transactions in the country done electronically and at least 70 percent of Filipino adults owning transaction accounts, including e-wallets, by the end of 2023. The twin goals are well within reach. Latest BSP data show that in 2021, about 30.3 percent of financial transactions were done electronically, and 56 percent of Filipino adults had transaction accounts, up from 14.0 percent and 29.0 percent, respectively, only one year

On efficiency, the BSP has rolled out initiatives that make electronic fund transfers easy. An example is the establishment of the two interoperable clearinghouses PeSONet [Philippine eF T (electronic Fund Transfer) System and Operations Network] and InstaPay. Through these platforms, a person may electronically transfer funds to an intended recipient even if their accounts are lodged with different banks or e-wallets.

Another example is the creation of digital payment streams eGov Pay and QR Ph. The eGov Pay is an electronic payment facility that allows individuals and businesses to digitally pay taxes, licenses, permits, and other obligations to the government. QR Ph, the national QR (quick response) code standard, provides an interoperable platform that allows QR-enabled fund transfers even if the sender and the recipient have accounts from different banks or e-wallets.

On safety, the BSP issued regulations and carried out campaigns that promote consumer protection and cybersecurity. The BSP also supported the passage of the Financial Products and Services Consumer Protection Act when it was still being deliberated in Congress. This law provides better redress mechanisms for financial consumers who have complaints against their service providers.

On inclusivity, the BSP, through its Financial Inclusion Office, has implemented policies and programs that made financial services more accessible to low-income earners and encouraged more people to open transaction accounts. At the fore of these initiatives is the Paleng-QR Ph Plus program, under which the BSP partners with the Department of the Interior and Local Government to urge local governments to promote digital payments in local wet markets, public transport, and other retail establishments.

As the speed and breadth of digitalization gain momentum, the BSP continues to pursue more innovative and inclusive strategies toward an efficient, safe, and inclusive payments and settlements system attuned to the evolving needs of Filipinos.

The Bangko Sentral ng Pilipinas (BSP) and the International Monetary Fund (IMF) garnered another milestone after the successful regional dialogue on Financial Stability in Mactan, Cebu, on May 15 to 16, 2023.

With the theme, “The New Frontier of Financial Stability: Global Problems, Global Solutions, Local Challenges,” the conference brought together 14 central banks and financial authorities from the region, six international organizations, as well as 31 institutions representing the private sector, market players, and experts.

One of the conference highlights focused on Asia as a collective body in addressing systemic risk issues affecting the global economy. Although much work needs to be done, the conference moved the needle toward building resilience by creating bridges and molding behaviors across stakeholders.

In the photo are participants of the conference from the BSP led by BSP Governor Felipe M. Medalla (1st row, 7th from left), Monetary Board Member (MBM) Peter V. Favila (1st row, 5th from left), MBM Anto- nio S. Abacan, Jr (1st row, 4th from right), MBM V. Bruce Tolentino (1st row, 3rd from left), MBM Anita Linda R. Aquino (1st row, 3rd from left), MBM e l i M. Remolona, Jr. (1st row, 2nd from left), Deputy Governor (DG) Chuchi G. Fonacier (3rd row, leftmost), DG Francisco G. Dakila, Jr. (3rd row, 3rd from right); Senior Assistant Governor (SAG) Maria Ramona Gertrudes T. Santiago (2nd row, 7th from left), SAG Dr. Johnny Noe e Ravalo (1st row, leftmost), SAG e d na

C. Villa (2nd row, 2nd from right); Managing Director Antonio Joselito G. Lambino II (2nd row, rightmost); the IMF led by Deputy Director Dr. Thomas he lbling (1st row, 6th from left); the Financial Stability Board (FSB) led by FSB Chairman and De Nederlandsche Bank President Klaas Knot (2nd row, 4th from left), ASe A N central banks, public and private sectors, media, and multilateral organizations including the Bank for International Settlements, Asian Development Bank, ASe A N+3 Macroeconomic Research Office, and Southeast Asian Central Banks Research and Training Center.