MANILA - The Bangko Sentral ng Pilipinas said Thursday implementing rules for expanded access to satellite technology could accelerate financial inclusion and digital finance in the country.
With implementing rules and regulations, banks, fintech firms and the financial sector will be "guided" in exploring ways in tapping satellite technology for their services that rely on the internet, the BSP said in a statement.
President Rodrigo Duterte in March signed Executive Order No. 127 or the law on Expanding the Provision of Internet Services through Inclusive Access to Satellites Services, which gives telcos and other firms wider access to all satellite systems.
Once enforced, expanded access will speed up the rollout of internet connectivity in unserved, underserved and geographically isolated and disadvantaged areas in the country, the central bank said.
“With enhanced countryside connectivity, we see previously unserved and underserved areas being reached by digital financial services, especially those designed for the lower income segments, like remittances, bills payments and the opening of transaction accounts,” said BSP Governor Benjamin Diokno.
This, coupled with the national ID system will help the unbanked population benefit from digital finance, the BSP said.
More access to satellite technology and other financial technology will also help the BSP achieve its digitalization goals, Diokno said.
Under its digitalization roadmap, the BSP aims to digitize at least 50 percent of payment transactions and encourage 70 percent of the population to open bank accounts by 2023.