THE BANGKO Sentral ng Pilipinas has tightened its electronic payments framework to slash interbank transfer fees and accelerate the country’s shift toward a cashless economy.
Under the circular issued on June 17, the BSP ordered financial institutions to ensure that charges for person-to-person e-payments across different banks and e-wallets are “not materially different” from intra-bank transfers, which are often free. Any pricing discrepancies must strictly reflect network switch operator costs.
The central bank will also force financial firms to maintain detailed cost analyses of their e-payment services for regulatory oversight.
“Lower fees will encourage more Filipinos and businesses to use and benefit from digital transactions. The BSP sees this as a step toward making digital transactions even more mainstream,” BSP Governor Eli Remolona, Jr. said.
He added: “At the same time, greater adoption can help improve efficiency across the payments system, reducing costs for everyone.”
The reforms directly target findings from a late 2025 consumer survey showing that one in three Filipinos cited high fees as a major barrier to adopting digital payments.
In a bid to expand the digital ecosystem, the amendments also lower barriers for the country’s ubiquitous sari-sari (neighborhood convenience) stores and other micro-businesses. These merchants will now be allowed to open financial accounts using only a National ID or official document, allowing them to readily accept digital payments.
The new guidelines amend both the National Retail Payment System and the merchant payment acceptance frameworks. (ABS-CBN News)
