The Bangko Sentral ng Pilipinas (BSP) will release enhanced guidelines on bank digitalization before the end of the year as it seeks to ensure fair competition.
Speaking at the Chamber of Thrift Banks (CTB) convention, BSP deputy governor Chichi Fonacier noted the rapid adoption of digital platforms across the banking sector, particularly among thrift banks, which are increasingly offering electronic services to enhance customer access and experience.
According to BSP data, 73.2% of the country’s 41 thrift banks now hold Electronic Payment and Financial Services (ePFS) licenses. Nearly half, or 48.8%, provide InstaPay services, while 43.9% offer PESONet—two major electronic fund transfer platforms under the BSP’s National Retail Payment System (NRPS).
With this growing trend, Fonacier emphasized the need for a framework that assesses banks’ level of digital-centric operations to determine the appropriate prudential requirements.
“This approach promotes a level playing field and ensures consistent application of regulatory requirements and expectations between digital banks and digital-centric banks,” she said, adding that the BSP is currently working on indicators to assess the degree of digitalization among banks.
Fonacier clarified that the guidelines, which are still under review by the Monetary Board, would include provisions requiring banks to boost their capital as they ramp up their digital efforts.
Currently, the BSP has capped the number of digital bank licenses at six, with no new approvals issued in recent years. Digital banks, which operate entirely online without physical branches, are required to maintain a minimum capitalization of P1 billion.
