Cebu LGUs lag behind in Paleng-QR PH program implementation

CEBU, Philippines — A national push for cashless, inclusive transactions is gaining ground across the Philippines—but Cebu’s local government units (LGUs) are trailing behind in implementation.

Out of the 53 LGUs in the province, including its highly urbanized cities, only six have taken visible steps toward rolling out the Paleng-QR Ph Program, a digital payment initiative jointly spearheaded by the Department of the Interior and Local Government (DILG) and the Bangko Sentral ng Pilipinas (BSP).

Based on the data at the end of June 30, 2025, by the BSP that was retrieved by The Freeman, the six LGUs in Cebu that have so far made policy issuances and launching activities are the three highly urbanized cities---Cebu, Lapu-Lapu, and Mandaue, along with the cities of Talisay, and Naga, and Pinamungajann town.

Lapu-lapu City is the first to launch the program in February 2023, followed by Mandaue City in August 2023.

Naga City and Cebu City conducted their respective launches in July 2024, while Pinamungajan followed suit in November of the same year. Talisay's launching date was not included on the list.

Despite widespread policy adoption nationwide—with 180 LGUs onboarded, including 127 in Luzon, 33 in Visayas, and 15 in Mindanao—implementation in Cebu remained modest.

The program, which empowered LGUs to promote QR code payments in public markets and transportation systems, is anchored on DILG-BSP Joint Memorandum Circular No. 01, Series of 2022.

It formed part of the government’s broader National Strategy for Financial Inclusion (2022–2028) and in support with President Ferdinand Marcos Jr.’s directive for grassroots digital empowerment.

The slow progress is reported to have been caused by several pressing issues.

On top of this is the poor internet connectivity in public markets and transport terminals.

Other challenges include limited access to mobile devices among microentrepreneurs, insufficient training for vendors and transport workers unfamiliar with digital systems, and a lack of technical staff, especially in smaller LGUs to manage implementation.

Coordinating with financial service providers for account setup has also led to delays accordingly, especially in areas with fewer bank or e-wallet representatives.

The Paleng-QR Ph Program is not just about convenience—it’s about reshaping access to financial services and making local economies more resilient.