Philippines lifts ban on non-bank digital money providers
The Philippines has ended its ban on new electronic money issuers from non-bank financial institutions (EMI-NBFIs).
The Bangko Sentral ng Pilipinas (BSP), the country’s central bank, announced the decision, which aims to boost digital payments. The moratorium, in place since November 2021, officially expired on 15 December 2024.
The move is part of efforts to make financial services more accessible.
"The BSP’s decision to lift the moratorium aims to promote digital payments, enhance financial inclusion, and foster innovation that could serve a wider segment of the market," BSP Deputy Governor Mamerto Tangonan was quoted as saying.
As part of requirements, non-bank companies applying for a license must provide detailed proposals which are supported by market research, target audience and a business model.
This new decision also requires that applicants must meet strict criteria, including transparency in ownership, suitability of shareholders, and proper management.
They also need to show strong risk management systems and sufficient capital.
Only companies offering innovative services and targeting underserved areas will move forward in the licensing process.
The BSP has already licensed 42 EMI-NBFIs and 27 EMI-banks. These businesses provide digital money transfers, remittances, and other online financial services.
The central bank, established in 1993, regulates the country's financial system under Philippine law.
