THE Bangko Sentral ng Pilipinas (BSP) foresees a 20-percent increase in the use of electronic payments in the country by 2020 with the implementation of the National Retail Payment System (NRPS).
The BSP said the NRPS is “a policy and regulatory framework that provides the principles for the governance of an electronic retail payment system in the country that is safe, efficient, and reliable.”
The country’s prime monetary policymaker said digitizing retail payments is critical in the Philippines, since 99 percent of payment transactions in the country are done in cash, while only one percent is paid through electronic systems.
“With the NRPS, we hope to shift the one-percent share of electronic payments to at least 20 percent by 2020—so, its 20 by 2020,” said BSP Governor Amando Tetangco Jr., when
the NSPS Framework was formally launched on Wednesday.
According to the BSP, the framework will define high-level policies, standards, and governance principles covering retail payment operations and infrastructures.
It aims to track the establishment of an electronic retail payment system, promote a “cash-lite” economy, and ultimately improve the country’s economic competitiveness.
With its interconnectedness and interoperability, the NRPS presents the potential for increased efficiencies, greater opportunities for consumers and businesses and increased access to financial services, the BSP said.
“NRPS is the future and it is about to generate tremendous benefits for our country,” Tetangco said.
The BSP said the full implementation of NRPS is targeted on the first half of 2016.