Zed, a credit-led neobank, has introduced what is described as the country’s first credit card that will do away with several common charges. This card uniquely features no foreign transaction fees, interest, or annual charges — it is being billed as a “no fee” credit card, and possibly indicating a shift towards more accessible financial services for the financially underserved in the Philippines. Reflecting a sizable amount of interest, Zed has initiated an early access programme, and according to the bank, has since witnessed over twenty thousand sign-ups in just two weeks. Founded by Danielle Cojuangco Abraham and Steve Abraham,…

Core banking systems serve as the backbone of financial operations and customer interactions for banks worldwide. They facilitate critical transactions like loan management, withdrawals, and deposits in real-time. However, maintaining such a system comes at a hefty cost. Financial institutions (FIs) are spending up to US$100 billion annually on technology to remain competitive. Modern all-in-one platforms offer efficiency improvements, scalability, comprehensive data analytics, robust security measures, and cost savings. The necessity for digital transformation The COVID-19 pandemic and increased competition have accelerated digital transformation in Asia-Pacific FIs. Customers increasingly rely on digital channels, prompting banks to allocate more resources to…

Saripay, the financial wing of Growsari Enterprises, has commemorated its first year since launching in 2023, a period during which it has extended its support to micro, small, and medium enterprises (MSMEs) through a combination of financial assistance and digital payment options. The range of businesses benefiting from Saripay’s services spans local convenience stores, pharmacies, and small food outlets, among others, reflecting its commitment to enhancing the financial and operational capacity of MSMEs in a rapidly digitalising economy. General Manager Sandeep Bhalla reflected on the past year: “We are grateful for the opportunity to serve thousands of MSME across the…

Electronic Transfer & Advance Processing, Inc. (eTap), a principal operator of payment kiosks, has disclosed intentions to significantly extend its network across the country by adding 2,000 new kiosks to its existing tally of 3,500 by the end of this year. This move indicates a steady growth trajectory for the firm and highlights its strategic position within the physically-enabled electronic payments sector. The company also leverages collaborations and client purchases to grow its footprint, including the addition of 1,000 machines for BTI Payments PH and a further 500 machines along with cash management services for Electronic Commerce Payments, Inc.,  demonstrated…

Metropolitan Bank & Trust Co. (Metrobank), one of the Philippines’ major banks, has initiated a partnership with Temenos and Collaboration Betters the World (CBTW) to integrate Temenos Wealth into its services. This move aims to enhance Metrobank’s existing wealth management offerings. The introduction of Temenos Wealth is expected to provide Metrobank with access to the current-generation digital banking technology from Temenos. This includes sophisticated wealth analytics powered by artificial intelligence, streamlined processes for digital onboarding, and a variety of self-service options, including robo-advisory and goal-based planning. The adoption of Temenos’ advanced technology platform, along with its flexible API-driven architecture, is…

In a recent press briefing, Deputy Governor Mamerto Tangonan disclosed that the Bangko Sentral ng Pilipinas (BSP) is poised to complete the trial phase of Project Agila, a wholesale Central Bank Digital Currency (CBDC) initiative, by the end of 2024. The project aims to facilitate digital currency transactions among commercial banks and financial institutions for various functions, such as interbank payments, securities transactions, and cross-border payments. The pilot scheme, Deputy Governor Tangonan noted, is intended as an exploratory exercise to assess the technology’s viability and its potential to improve financial operations. Six prominent domestic financial institutions — BDO Unibank Inc.,…

Commenting on the integration of technology within the financial sector, the Bangko Sentral ng Pilipinas (BSP) has revealed its ongoing investigations into the implications and necessary safeguards for the use of generative artificial intelligence (AI) in banking. Under the guidance of BSP Governor Eli Remolona Jr., the central bank is focusing on identifying effective measures to counter potential risks that may arise from the employment of AI technologies, such as ChatGPT and other machine learning tools. Governor Remolona has underscored the necessity of introducing “guardrails” to ensure the safe application of generative AI within banking and the wider financial industry.…

Recent insights from the Bangko Sentral ng Pilipinas (BSP) have cast light on the challenging environment facing the Philippines’ digital banking sector. According to Melchor Plabasan, Director at the BSP, among the six digital banks operational within the nation, only two have navigated their way to becoming profitable so far. “There are two among the six banks that are profitable, but the expectation is that it would take about five to seven years before a digital bank becomes profitable,” Director Plabasan said at a press conference. This situation mirrors a global trend where merely 5% of digital banks are managing…

In a decisive move to shield investors, the National Telecommunications Commission (NTC) has enacted a directive, prompted by the Securities and Exchange Commission (SEC), to immediately restrict access to OctaFX’s website and applications. This action is in response to identified breaches of the Securities Regulation Code and the Revised Corporation Code of the Philippines. Through a memorandum issued on 8 March, the NTC is supporting the SEC’s bid to halt the spread of OctaFX’s unlicensed operations, which have been deemed detrimental to the economic well-being and investment security of Filipinos. Expressing serious concerns, the SEC in a letter from 27 February…

In the Philippines, a rapidly evolving economy demands financial vigilance. Bank statements serve as crucial tools, providing individuals and businesses with an accurate reflection of their financial health. These comprehensive records empower Filipinos to make informed decisions, combat fraud, and promote responsible spending, ultimately contributing to the nation’s economic growth. However, obtaining a bank statement in the archipelago can be challenging and time-consuming, particularly for customers who need the statements urgently for various purposes. This involves a tedious process of traveling to the bank, filling out forms, and waiting for the statement to be issued. This is particularly problematic for…

HSBC Philippines has unveiled a new application programming interface (API)-based e-commerce payment solution known as Omni Collect. This platform aims to simplify how businesses manage payments across various channels, facilitating the integration of both online and offline payment methods for customers. Omni Collect is designed to cater to the needs of companies from a range of sectors, including retail, consumer brands, healthcare and pharmaceuticals, shipping and logistics, and financial services. By connecting to a single API system provided by HSBC, businesses will have the advantage of receiving immediate payment notifications and accessing detailed data analyses. This is expected to improve…

The Bangko Sentral ng Pilipinas (BSP) has outlined plans to introduce an instant cross-border payment service by 2026, aiming to simplify the process of sending remittances to the Philippines. BSP Governor Eli M. Remolona, Jr. highlighted this initiative during a news briefing, suggesting it could reduce the cost of remittances significantly. The move is part of the central bank’s broader strategy to promote financial inclusivity and the adoption of digital payments, which it believes could aid the country’s economic recovery. Despite a modest increase in remittances from overseas Filipino workers, which grew by 2.9% last year to $33.491 billion, this…

Hubert Dominic B. Guevara has been appointed as a new Securities and Exchange Commission (SEC) commissioner, succeeding fellow attorney Kelvin Lester K. Lee, whose term has concluded. Guevara, with a background as a lawyer and extensive experience in both the public sector and private legal practice, returns to the SEC after more than a decade. SEC Chairperson Emilio B. Aquino remarked on Guevara’s return, stating, “We are excited to welcome Atty. Guevara back to the Commission. We look forward to the expertise and insights that Atty. Guevara brings from his decades of experience in the executive branch and in the…

E-wallet GCash has announced its expansion into South Korea through a strategic partnership with Seoul-based broker E9pay. This collaboration aims to offer overseas Filipino workers a more efficient and cost-effective way to remit funds back home, tapping into the sizable Filipino community in South Korea. Paul Albano, General Manager of GCash International, emphasised the importance of this move, noting that it stands to benefit the substantial number of Filipinos living in South Korea. With more than 60,000 Filipinos based there, according to immigration data, the partnership is set to make financial transactions smoother and quicker for the community. The foreign…

Tonik Financial, headquartered in Singapore and operating the Tonik Digital Bank in the Philippines, has recently revealed a reduction in its workforce, which the company says is a strategic move towards enhancing revenue streams and attaining profitability. The decision, as disclosed by founder and CEO Greg Krasnov, involves the retrenchment of select fixed positions deemed non-critical for the company’s forward momentum. Although specific numbers were not provided by Greg, insights from a knowledgeable source revealed to Tech in Asia that the cutbacks had supposedly impacted 80 roles across various departments. This development follows a period of significant expansion for Tonik, marked…

Creador, a private equity firm in Southeast Asia, has made a strategic investment of PHP4 billion (US$ 71.2 million) in Asialink Finance Corp., an online lending firm to the Philippine small and medium enterprise (SME) sector. This investment grants Creador an 18% stake in Asialink, alongside a seat on its board of directors. This partnership is poised to catalyse Asialink’s expansion efforts, enhancing its capacity to support SMEs by not only increasing its lending capabilities but also by improving operational efficiencies. Creador’s contribution will extend beyond financial investment, aiming to bolster Asialink’s growth through the introduction of international banking partnerships and…

Salmon has recently introduced its “early bird” savings scheme. The financial services company now operates a licensed bank, the Rural Bank of Sta. Rosa/Laguna, alongside a series of lending companies in the Philippines. This initiative offers Filipino consumers a notable opportunity to accrue savings at an interest rate of 8.88%. This rate is accessible exclusively to individuals engaging in a 12-month time deposit, with savings amounting to more than PHP500,000, and is initially available at the Rural Bank of Sta. Rosa/Laguna branches. According to Salmon, this initiative reflects its commitment to promoting financial inclusion, aiming to provide consumers with access…

GoTyme Bank is poised for considerable growth, with expectations to more than double its customer base by the conclusion of this year. This anticipated expansion is linked to the bank’s plans to introduce a broader range of products and services. Speaking at a central bank gathering, GoTyme’s Co-Chief Executive Officer and Chief Commercial Officer, Albert Raymund O. Tinio, conveyed a positive outlook for the bank’s progression throughout the current year. Reflecting on past achievements, Albert pointed out that GoTyme’s affiliate, Tyme, attained profitability around December of the previous year. “We’re very much on track to do that. We’re bullish that…

In a notable development at the outset of 2024, Coins.ph, the most established Bitcoin and cryptocurrency exchange market in the Philippines, announced that its service Coins TradeDesk has achieved a trading volume of over P8 billion in January alone. Coins TradeDesk offers foreign exchange and cryptocurrency services to businesses, financial entities, and individuals of high net worth, facilitated by Coins.ph, the Bangko Sentral ng Pilipinas (BSP) licensed fintech firm. Coins.ph gave the example of Seagulls, a company that facilitates the transfer of mobile credit and bill payments across an international network spanning 100 countries, as one of the clients benefitting…

ProCredit, a fintech enterprise specialising in loans for small and medium-sized enterprises (SMEs), has successfully raised US$4.1 million in a pre-seed funding round. This round was led by Integra Partners and saw contributions from the Menardo Jimenez Family Office, M Venture Partners (MVP), Cento Ventures, Gobi Partners through the Gobi-Core Philippine Fund, along with several local angel investors. ProCredit, based in the Philippines, is notable for its focus on technology-enabled SME lending, founded by a team with a collective experience of over fifty years in SME lending within emerging markets. The founders, who have previously held senior roles at Citigroup,…