Government pushes faster adoption of fintech

MANILA, Philippines — The government has committed to ramp up the country’s digital economy, particularly on financial technology to further contribute to overall growth.

Finance chief Benjamin Diokno said the Marcos administration would continue to invest in the digital economy amid the important role of technology in finance.

Diokno said the government is backing the rapid adoption of fintech, as the digital transformation of the country’s financial systems will lead to greater financial inclusion and opportunities.

“Technology has a well-defined role in the world of finance. It facilitates a more inclusive and efficient financial system,” Diokno said.

“The government is committed to making foundational investments in the digital economy. We will need the best technologies, ideas, and people to ensure that Filipinos have access to vast opportunities,” he said.

For one, the Department of Finance is moving for the faster digitalization of its main revenue generating agencies, the Bureau of Internal Revenue (BIR) and the Bureau of Customs (BOC).

The BIR’s digital transformation program aims to transform the agency into a data-driven organization.

This, as revenue workers will be digitally empowered to deliver quality public service and enhance the overall taxpayer experience.

On the other hand, the BOC is establishing a national action plan for cross-border paperless trade.

The World Bank is likewise financing the Philippine Customs Modernization Program that will transform Customs from a manual paper-based organization to a digitalized one.

“By 2024, we expect to fully modernize the BOC in accordance with international standards,” Diokno said.

Further, the Bangko Sentral ng Pilipinas is developing a digital financial marketplace model to increase the number of digital banks in the country.

The government targets to convert at least half of all retail transactions volume into digital form and onboard 70 percent of Filipino adults to the formal financial system by next year.