group to reach where we are today — but there is still much work to be done. after laying the foundation of a digital ecosystem for pera, we are targetting to reach 5 million filipinos in a period of 5 years, or what we call 5 in 5. the target seems ambitious. but with more than 40 million locally employed filipinos prior to the pandemic and around 2. 2 million overseas filipino workers, i am optimistic that this goal is easily attainable. while the pandemic rendered many filipinos jobless, we nevertheless expect the philippine economy to bounce back and create more job opportunities for displaced workers. we recognize that achieving this target needs commitment from all stakeholders. we, at the bsp, together with other relevant government agencies, will continue to promote a conducive regulatory environment for pera. i encourage the market players to provide convenient and affordable pera experience to your customers. i also hope to see more market players participate in the digital pera ecosystem, such as insurance companies and mutual funds. to all the attendees today, may you promote the value of pera in your organization, with your colleagues, and your families. at the end of the day, saving for retirement is a necessity. but this is just the beginning. we look forward to continuing our partnership with you to achieve a more convenient and affordable retirement savings for every filipino. after laying the foundation of a digital ecosystem for pera, we are targetting to reach 5 million filipinos in a period of 5 years, or what we call 5 in 5. the target seems ambitious. but with more than 40 million locally employed filipinos prior to the pandemic and around 2. 2 million overseas filipino workers, i am optimistic that this goal is easily attainable. while the pandemic rendered many filipinos jobless, we nevertheless expect the philippine economy to bounce back and create more job opportunities for displaced workers. we recognize that achieving this target needs commitment from all stakeholders. we, at the bsp, together with other relevant government agencies, will continue to promote a conducive regulatory environment for pera. i encourage the market players to provide convenient and affordable pera experience to your customers. i also hope to see more market players participate in the digital pera ecosystem, such as insurance companies and mutual funds. to all the attendees today, may you promote the value of pera in your organization, with your colleagues, and your families. at the end of the

benjamin e diokno : promoting retirement savings through digital pera - convenient and affordable retirement savings ( cares ) through digital pera # peracares speech by mr benjamin e diokno, governor of bangko sentral ng pilipinas ( bsp, the central bank of the philippines ), at the executive briefing on digital transformation, manila, 8 september 2020. * * * ladies and gentlemen, good morning. it is a pleasure to welcome you all, as we bring together the government and private sectors to celebrate this important milestone — the virtual launching of digital pera, or the personal equity and retirement account. today ’ s event takes place in an unprecedented time. needless to say, the covid - 19 pandemic continues to disrupt economies and societies around the world. the pandemic has changed the way we live, work, and communicate. but the crisis also presents an opportunity to rethink our priorities and to prepare for our next steps moving forward. through this event, we hope to encourage more filipinos to plan and save for the future amid these challenging times. this aspiration can be made possible through digital pera — a convenient and affordable program that aims to boost retirement savings. pera was established under republic act no. 9505 as a means to help filipinos build funds which they can use upon retirement. preparation is key when thinking about retirement, and there is no better time to prepare than when you are still able and productive. after all, we deserve to sit back and enjoy our retirement after years of hard work. unfortunately, this is not the case for many of us. in fact, most filipinos do not expect to receive a pension in their old age. based on the latest report of the philippine statistics authority, the philippines has around 7. 6 million filipinos aged 60 years old and above. of this group, only 20 percent are covered by either sss or gsis, leaving 80 percent of senior citizens with no mandatory pension at all. retirees who are fortunate enough to be covered by state - sponsored retirement systems receive an average monthly pension of p5, 123 for sss and p18, 525 for gsis. depending on the lifestyle you would like to have in your senior years, this pension may or may not be enough to meet all your needs. according to a recent survey, we filipinos tend not to prepare for their own retirement. specifically, filipinos only set aside 3. 6 months ’ worth of