Eli M Remolona: Going the extra mile for financial inclusion
Speech by Mr Eli M Remolona, Jr, Governor of Bangko Sentral ng Pilipinas (BSP, the
central bank of the Philippines), at the 2024 Cerise+SPTF Annual Meeting , Manila, 5
June 2024.
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Introduction
SEC (Securities and Exchange Commission) Commissioner Javey Paul Francisco,
Social Performance Task Force Executive Director Laura Foose, Cerise Executive
Director Cecile Lapenu, Microfinance Council of the Philippines, Inc. Chairman Gilbert
Maramba, Kabalikat para sa Maunlad na Buhay, Inc. President and BSP (Bangko
Sentral ng Pilipinas) Adviser Ed[uardo] Jimenez, CARD Bank Vice Chair and Senior
Management Adviser Dr. Dolores Torres, guests, ladies and gentlemen, good morning.
Welcome to the social performance task force annual meeting. We are set for four
days. Four busy days of training, breakout sessions, and field visits here in the
Philippines. Thank you especially to those who have travelled from afar to join us here
today.
Our theme today is all about going the extra mile to build effective financial inclusion--a
principle we at the Bangko Sentral ng Pilipinas hold dear.
Let me give you a quick overview of our progress.
Gateway to financial inclusion
In 2015, only 22 percent of Filipinos had bank accounts. By 2021, that figure had risen
to 56 percent.
We see digital payments as a gateway to financial inclusion. These payments have
increased dramatically from just 1 percent in 2013 to 42 percent in 2022.
This progress was achieved with the help of so many partners. It started with a strategic
roadmap-the National Strategy for Financial Inclusion launched in 2015. It was followed
by an updated strategy in 2022.
The Financial Inclusion Steering Committee, which I chair, includes 21 government
agencies working together to develop inclusive policies.
As you know, for our efforts to work, it is critical to build trust in formal financial services.
Hence, the BSP has been actively involved in consumer protection.
We have worked alongside lawmakers and regulators to enact the Financial Consumer
Protection Act.
Moreover, we are developing a consumer protection and market conduct supervision
framework. To make the most of financial inclusion, Filipinos need to be financially
literate.
The BSP has set up a financial education partnership framework to extend our reach.
Our programs now help educate a broad spectrum of the population including teachers,
migrant workers, and farmers.
We have made substantial progress, but there is still work to do. As highlighted in the
BSP activities during the visit of the United Nations Secretary General's Special
Advocate for Inclusive Finance for Development, Queen Maxima of the Netherlands, we
are focusing on making digital payments more affordable. So affordable in fact, that
people will make it a habit to use digital payments.
As you can see, we are trying to go digital when it comes to financial inclusion.
Open finance
We are advocating open finance, particularly in the area of financial health.
Open finance facilitates consent-driven sharing of customer data among financial
institutions and third-party providers. It also gives customers more access and more
choices when it comes to financial services.
We believe that open finance holds significant potential to extend the reach of financial
inclusion. It will do by fostering innovations in financial services.
At the center of open finance is the customer who must be served and protected at all
times. This is why we, at the BSP, are implementing our financial consumer protection
framework. This would ensure that the rights and needs of consumers always comes
first and that their trust and confidence in the financial system is preserved.
So, thank you, our partners, for making this event possible and for advancing financial
inclusion in markets like ours.
I hope you find your time in Manila rewarding.
Magandang umaga po at mabuhay tayong lahat.