MANILA, Philippines — Yuchengco-led Rizal Commercial Banking Corp. (RCBC) continues to lead digital financial innovation by being one of the participants in the pilot launch of a program to boost small businesses.
RCBC president and chief executive officer Eugene Acevedo said the bank believes in the power of technology in uplifting the lives of the Filipinos.
The bank has joined the Bangko Sentral ng Pilipinas (BSP) and the Philippine Payments Management Inc. (PMMI) as one of the pioneer participants in the pilot launch of the person-to-merchant (P2M) digital payments QR solution.
“The ease of transaction that QR Ph’s P2M scheme offers will also remain relevant for the years to come,” Acevedo said.
Lito Villanueva, executive vice president as well as chief innovation and inclusion officer at RCBC, said the convenience that QR Ph’s P2M scheme provides is useful to businesses and individuals who are still recovering from the COVID-19 pandemic.
“The pandemic made us realize how we can quickly and safely transact with less contact and interaction,” Villanueva said.
BSP Governor Benjamin Diokno said the new payment option would boost the commitment to transform the Philippines into a cash-lite from a cash-heavy economy by 2023 under its three-year Digital Payments Transformation Roadmap.
“This event marks another milestone achieving a cash-lite economy. It is expected to bring broad and wide-ranging benefits to both consumers and businesses by providing Filipinos with a convenient and safe alternative to the traditional payment methods that use cash and coins,” Diokno said during the launch.
With the P2M scheme, micro, small, and medium enterprises can offer a safe and convenient contactless payment option. Select merchants with InstaPay accounts with institutions participating in the pilot run may now use QRPh P2M to accept funds. Meanwhile, users will only need their smartphones to scan a merchant’s unique QR code when transacting.
“The safety, ease and affordability of using of QR Ph P2M will make digital payments more accessible to micro, small, and medium enterprises in the Philippines. Given that the sector comprises around 99 percent of the total number of businesses in the country, the adoption of QR Ph P2M by MSMEs will allow more Filipinos to reap the benefits of digital payments,” Diokno said.
The QR Ph P2M scheme is expected to significantly contribute to the digitalization as well as the financial inclusion thrust of the BSP, as it aims to provide a safer and more accessible option for the unbanked and the underserved who wish to participate in digital transactions.
The scheme is expected to expand its coverage to other financial institutions by the third quarter of the year.