BAP to launch digital ID system this year

MANILA, Philippines — The Bankers Association of the Philippines (BAP) is eyeing to launch this year a facility which will host a digital identification registry, in line with the industry’s thrust to pursue innovation and financial inclusion in the country.

In a statement, newly elected BAP president and Bank of the Philippine Islands president and CEO Cezar Consing said the group is looking forward to the establishment of the BAP ID registry, which seeks to improve the validation process in the banking industry.  

“The Philippine banking industry is transforming itself so as to continue to be relevant to one of the world’s fastest growing economies. Digitalization, cybersecurity, and financial liberalization are issues foremost on bankers’ minds.The overall objective is increasing financial inclusion – the imperative of our times,” Consing said.

According to BAP, the digital ID registry will set the foundation for e-KYC (electronic know-your-customer) and future use cases.

BAP said the facility, powered by blockchain technology, would make it easier and faster for clients to open accounts and avail of banking services from BAP’s member-banks. The technology employs an unalterable distributed ledger of transactions used to ascertain and vet transactions and client identity.

BAP said several of its member-banks are already developing the systems to be able to interface with the ID registry.

Consing, during the BAP annual membership meeting held on March 25, expressed his gratitude to former BAP president Nestor Tan for the latter’s leadership the past three years, during which the association developed the foundation for the BAP ID registry and increased its focus on cybersecurity.

Meanwhile, Consing said the BAP would also jumpstart its campaign on cybersecurity, and focus on environmental, social and governance projects.

He also reiterated the association’s commitment to pursue the Philippine Banking Roadmap and to support initiatives of the Bangko Sentral ng Pilipinas (BSP).

“The BAP has been blessed throughout its history with leaders who are passionate about moving the industry forward. I will build on Nestor’s considerable accomplishments. We want the Philippine banking industry to be accessible to every Filipino,” Consing said.

The BAP has been actively representing the industry’s position in policy development.