LandBank Digital Banking Reaches 1M Accounts
Due to the coronavirus disease 2019 (COVID-19) pandemic, more people are encouraged to shift digital banking for efficient and safer banking transaction, thus, LandBank already breached it’s 1 million mark. LandBank has now 1,039,926 accounts to date and 492, 156 of those were opened between the January and September. 11,972 accounts were also opened through […].....»»
UnionDigital Bank revenue grows to over P5 billion
UnionDigital Bank, the digital banking arm of Aboitiz-led Union Bank of the Philippines, saw its revenue grow to over P5 billion in 2023 mainly driven by higher deposits and loans......»»
ICT spending in AsPac reaches $1.3 trillion in 2023
Information and communications technology spending in Asia and the Pacific reached the $1.3 trillion mark in 2023, as companies increased their investments on automation and cloud to survive and thrive in the digital era......»»
LandBank named best for financial inclusion
The Land Bank of the Philippines, or LandBank, was recognized by Kantar Philippines as one of 2023’s Best Philippine Brands under the “Banking” category for providing convenient, accessible and innovative banking services to unbanked and underserved Filipinos nationwide. Kantar conferred the award to LandBank for its strong brand of service, decades of empowering the underserved, and for advancing financial inclusion in the country through the accessibility of its integrated physical and digital banking services. The market research firm also highlighted the Bank’s efficient delivery of cash grants to beneficiaries of the National Government’s social amelioration programs, particularly the digital disbursement of financial assistance under the Conditional Cash Transfer Program. “This recognition is a testament to LandBank’s unwavering pursuit to reach and serve more Filipinos nationwide. We are continuously working towards the strategic expansion of our physical touchpoints and the enhancement of our digital channels to deliver exceptional and accessible banking service,” said president and CEO Lynette V. Ortiz. In support of the National Government’s financial inclusion drive, LandBank has also onboarded 8.35 million Philippine Identification System, or PhilSys, registrants for their own transaction accounts, under the Bank’s co-location strategy with the Philippine Statistics Authority. The partnership aims to bank previously unbanked PhilSys registrants and grant them formal access to basic banking and other financial services. LandBank likewise has 1,111 agent banking partners, or ABPs, nationwide offering services such as cash out, cash in, fund transfer, bills payment, and opening and issuance of LandBank Agent Banking Cards in unbanked and underserved communities. The bank also offers individuals who have no capacity for operationalizing a regular deposit savings account to open a LandBank “Perang Inimpok Savings Option” or PISO account with only P1 as minimum initial deposit and up to a maximum of P50,000 account balance. As of end-August 2023, LandBank has opened 52,406 PISO accounts for unbanked and underserved Filipinos including students, public utility vehicle drivers, vendors, farmers and fishers. Kantar BrandZ report LandBank was recognized for its strong brand image in the Kantar BrandZ Philippine Report, which was based on a comprehensive survey conducted in 2022 covering 44 local brands across four categories — banks, communication providers, general retailers and beverages. Kantar is a global marketing and data analytics company that specializes in analyzing, understanding, and interpreting consumer behavior and trends. The 2023 Philippines Brand Awards is the first edition held by Kantar Philippines in the country to honor the top brands that bring value to the lives of Filipino consumers. The post LandBank named best for financial inclusion appeared first on Daily Tribune......»»
Phl phishing attacks highest in SE Asia, linked to 2% loss in GDP
At least two percent of the global Gross Domestic Product was lost due to increasing cases of online fraud, phishing, and scams, Senator Mark Villar said Monday. Villar, presiding over the hearing by the Senate Committee on Banks, Financial and Institutions and Currencies, lamented that the proliferation of online scams threatened not only the potential of online banking but also the stability of the banking system and the hard-earned money of the Filipino people. “While digitalization and the widespread use of digital finance opened opportunities for the banking sector, it is also apparent that opportunists also devise new methods to take advantage of this emerging financial market,” Villar said. While there’s an increasing number of Filipinos using online payment platforms, Villar noted that crimes related to digital financial transactions are also growing. “A significant number of Filipinos have been targeted by digital fraud attempts and a portion of them eventually fall victim to it,” he said. The Bangko Sentral ng Pilipinas said it has received more complaints regarding online banking transactions compared to those related to using Automated Teller Machines and credit cards, among others. In fact, the Anti-Money Laundering Council reported a rise in suspicious transactions in 2020 comprising acts of phishing, skimming, and transactions related to money mules. The Security Exchange Commission likewise noted a significant rise in complaints related to online fraud committed by online lending platforms. Villar said as these scammers take advantage of their victims, they also rattle their victims' trust in the country’s banking and financial institutions. “Trust, being the currency of the banking system, must be well-earned. Given the proliferation of online fraudsters, it is imperative that we strengthen our efforts to keep scammers at bay,” he added. Among the existing laws aimed at fighting online bank fraud include Republic Act 11765 or Financial Products and Services Consumer Protection Act; the RA 11934 or Subscriber Identity Module (SIM) Registration Act; and RA 10175 or Cybercrime Prevention Act of 2012. Villa said as criminal elements adapt to legislation to perpetuate fraud, hence, “there is a need to legislate new laws to keep them off track” such as the proposed Anti-Financial Account Scamming Act. “This measure will reinforce and earn back the public’s trust in our financial institutions,” he said. The number of phishing attacks in the Philippines during the first half of 2022 already surpassed the number of attacks at over 1.8 million detected compared to 1.34 million attacks during the entire year of 2021. Villar described the spiking cases of online scams as “extremely concerning.” This, as data from Kaspersky Security Network revealed that cases of financial phishing attempts in the Philippines from February to April 2022 were highest in Southeast Asia. Villar emphasized that the Anti-Financial Account Scamming Act or AFASA will evidently deal with cases of online fraud and will provide a regulatory framework that penalizes scammers as well as entails safeguard measures to protect Filipinos and their financial accounts. “Because of the lack of a regulatory framework that penalizes these scammers, there are and there will be more victims in the foreseeable future,” he added. AMLC executive director, Matthew David, said they required banks and payment operators to maintain the 'Know Your Customer document' for their system and store a system that could verify the identity of the clients, including the bank account owners. “They are required to do some verification in order to make sure the true identity of the customers,” David added. The public committee hearing was followed by an Executive Session due to the confidentiality and sensitivity of the issues and information that will be discussed. Villar said the executive session was conducted to ensure that law enforcement measures being undertaken to apprehend and prosecute scammers will not be disrupted. The post Phl phishing attacks highest in SE Asia, linked to 2% loss in GDP appeared first on Daily Tribune......»»
The Advantage of Adopting the Right Digital Tools for your Business
Amid the uncertainty in customer behaviors and trends from the crisis, this much is clear: updating the business for a digital-first world, led by purpose, is now a must for almost every company. To do so, they must determine where new business value exists in the new normal, what digital business models will capture it, and which tools and behaviors will support the adaptability and resilience that these models require. On this section, we talked to the creators behind the award-winning platform made for businesses like yours. The Digital Advantage Companies need an understanding of 3rd Platform technologies to capitalize on improved decision-making and to deliver enhanced, customized experiences to stakeholders. The rapid acceleration of 3rd Platform technology adoption means that corporates need to actively be looking for ways to improve their operational efficiency and customer service, otherwise, they will be in danger of falling too far behind digitally-native competitors to ever catch up. Efficiency Past recessions show that controlling costs by improving operational efficiency—a task for which digital solutions are perfectly suited for—is more effective in sustaining businesses through financial turbulence than traditional cost-cutting measures alone. The biggest efficiency play is automation. Streamlining operations and automating manual processes result in greater speed, less waste and more focus on revenue-generating activities. The economics of automation is simple: the same work is performed faster and with fewer mistakes, while human capital resources can be redeployed to higher-value tasks or to fill critical gaps. Convenience Company bank accounts are available in any device, the only things you need are internet connection and a few taps on the screen. This brings about an increase in customer satisfaction as they are able to constantly keep track of their account balances and manage the information on their personal profile (i.e. add new mailing address, e-mails, telephone numbers, etc.). In addition to this, there is no need to go to the bank to get checks as they can be instantly sent via email. 24/7 Reliability Online banking services are available 24/7 all year round, even on weekends. There is no need to line up and wait for the bank to open in order to conduct certain operations. This is a huge advantage that comes with digital solutions Security With all the recent news about data breaches, you might be wondering about the security of mobile and online banking. Security is top priority for banks when choosing whether or not to offer online banking. All banks use “Pentagon-grade” encryption technology and sophisticated firewalls. Mandatory security upgrades are required by bank regulators, so you can be confident that keeping your information secure is one of your bank’s utmost priorities. As digital transactions increase and productivity grow, companies must take proactive steps to protect their data privacy and security and adopt models that give them governance over their data. Today’s Platform Driven Solutions Self-service account management, bills payment and electronic fund transfers are considered the basic banking functions that each business should have. Account management allows viewing of account balances and transaction history without going to the bank. All these were made easy and accessible, by just logging into UnionBank’s The Portal app. Bills Payment, on the other hand, gives businesses access to a large list of billers. They can pay their water, electricity, telco, and other utilities online. BIR ePayment is also available, allowing users to pay taxes online. If the company is an accounting firm, they can also pay for their client’s taxes on The Portal app. Electronic fund transfers save companies time and reduce their risk exposure. Just upload the batch crediting file on the platform and it automatically disburses it to their recipients. Clients can also set up their recipients in UnionBank Business Banking so they receive email and SMS notifications every time they are credited. All these are made possible without stepping inside a branch. Batch Electronic Funds Transfer is also now made available for UnionBank Transfers and PESONet. This enables the streamlining of bulk account to account transfers to another UnionBank account or to other bank accounts. This has highlighted the ease and convenience of going digital to corporate clients versus processing transactions through the traditional way of banking over-the-counter or paying via cheques. Going beyond the basic functions of a normal digital banking tool, The Portal’s self-enrollment feature allows businesses to conveniently self-enroll their nominated accounts and users through the simple enrollment steps. Once completed, access to The Portal is granted and clients may enjoy the convenience of processing their funds transfer instructions online. In addition, there is an option to initiate the enrollment of the beneficiary accounts individually or in bulk. This can be essential for clients that need a payee maintenance feature to ensure that the initiated transactions are only credited to enrolled account. With the convenient, hassle-free and straight-through processing in The Portal, businesses can easily push fund transfers in the comfort of their own homes or offices. This pandemic serves as a widespread test case for the effectiveness of these digital solutions, many of which will be permanent fixtures and lead to long-term changes for many businesses. Organizations that embrace digital solutions have greater resiliency in the face of adversity and are way ahead of the competition, which will enable them to recover faster and pivot from playing defense to chasing growth. While many believe it is too idealistic to have a good workplace culture and excellent compensation, many jobseekers significantly consider these two factors when applying for a job, according to two studies. The 2021 Employee Experience Survey by Willis Towers Watson reported that 89 percent of respondents believe a positive employee experience is a crucial driver of engagement, while a 2023 survey from the online recruitment platform JobStreet found that 53 percent of Filipino job seekers would like to know the salary range offered while still in the recruitment process. Aside from great benefits and compensation, employees in the IT industry pointed out that a good work culture and environment, as well as training programs, are the top priorities of job seekers. Vanessa Liwanag, business development director at Yondu, acknowledged the company’s role in her growth, “Yondu has helped me develop my leadership, decision-making, and communication skills through its effective leadership training programs. The company also helped me grow personally because of its hybrid setup. This allows me to have a work-life balance. I can still care for my family and health while contributing to the organization.” Leather, who specializes in securing networks from vulnerabilities, noted that training programs are essential as trends continuously evolve. IT professionals need to keep up in order to be efficient. Steph, a software solutions engineer, echoed this, adding that since the industry is highly competitive and fast-paced, getting equipped with the right skills and knowledge is essential. Grace, a malware researcher, said that one advantage in the IT field is that since it’s a broad industry, there is always much to learn and room for improvement. Yondu, an IT solutions company wholly owned by Globe, offers all these benefits and compensation, a good working environment, and training programs to Yondudes, a nickname for its employees. Competitive pay and benefits are OK for Yondu as the company ensures this through regularly benchmarking market data and best practices. There are also tailor-fitted rewards programs according to talent segments. Yondu also ensures its employees remain competitive and well-equipped by industry standards through various training, reskilling, and upskilling programs to hone their skills in the constantly changing tech industry. Despite the fast-paced sector continuously evolving, Yondu still values work-life balance and provides programs to support Yondudes’ well-being further. “What sets Yondu apart from other organizations is its genuine focus on understanding and supporting its employees,” said Javen Babac, lead application support specialist at Yondu. “The company recognizes that employees perform their best when they feel valued and supported, and this philosophy sets Yondu apart by fostering a positive and inclusive work environment. The organization’s commitment to understanding its employees and providing the necessary resources demonstrates its dedication to employee well-being and sets a strong foundation for professional growth and job satisfaction.” The post The Advantage of Adopting the Right Digital Tools for your Business appeared first on Daily Tribune......»»
BSP urges free service fee for small fund transfers
The Bangko Sentral ng Pilipinas plans to issue a payments framework aimed at removing transaction fees for small fund transfers. BSP Governor Eli Remolona Jr. on Thursday said central bank officials have also been talking with e-wallet firms and other digital financial services providers to create the framework which will require financial firms to offer free fund transfers for small amounts. He said only three major banks are offering such service so far amid the lack of formal guidelines and directive from the BSP. Shame major banks “We’re trying to shame other major banks into following the same service. We’re formalizing it through a payments framework, and we’re in touch with GCash, Maya and other digital financial services providers,” Remolona said Thursday during the Global Policy Forum on Financial Inclusion organized by the Alliance for Financial Inclusion at the Philippine International Convention Center in Pasay City. With zero fees for small fund transfers, Remolona said more Filipinos would be encouraged to avail of banking services like deposit accounts, build wealth, and promote equitable financial service. “In general, we want to make sure the poor do not subsidize the rich. If you have a credit card and a big spender, you can get rewards. Guess who pays for the rewards? It’s the poor guys who only use small amounts in their transactions and get charged,” the BSP governor said. As more Filipinos own deposit accounts even with small funds, Remolona added banks and other lenders can strengthen their capital capacities. “We’ve found that when deposits are small, they become sticky and depositors don’t run away at the first sign of trouble. If you can lend to the poor, you have a more diversified portfolio and so it’s safer for banks,” the BSP governor said. Manila Manifesto During the Global Policy Forum on Financial Inclusion attended by over 700 foreign bankers and other stakeholders, Remolona announced the Manila Manifesto. This is a commitment by the Philippines to collaborate with other state-members of the Alliance for Financial Inclusion or AFI on developing global standards for making financial products and services safe, accessible and affordable for all. AFI reported 1.4 billion people worldwide still cannot access financial services due to a range of factors, such as financial illiteracy and lack of Internet connection and digital banking platforms. “In the 15 years since AFI was created, with substantive support from the BSP, our members have brought over 840 million people into the financial system via enlightened national policies and strategies on financial inclusion,” Dr. Alfred Hannig, AFI executive director, said. The post BSP urges free service fee for small fund transfers appeared first on Daily Tribune......»»
UBS’s Credit Suisse takeover, ‘deal of the century’?
Did banking giant UBS make "the deal of the century" when it bought one of the world's biggest banks for a pittance as it teetered on the edge of the abyss? Switzerland's largest bank was in March strong-armed by Swiss authorities into a $3.25-billion takeover of Credit Suisse, to keep its closest domestic rival from going under. At the time, investors gasped at the risks UBS was taking on with the purchase. But by August, the bank said it would not need the billions in support offered by the Swiss government and central bank to offset any surprises that might pop up in its stricken rival's accounts. That must mean that Credit Suisse's situation was "much better than described in March", Thomas Aeschi, a member of parliament with the populist rightwing Swiss People's Party (SVP), wrote on X, formerly Twitter. UBS seemed to prove him right when it unveiled its second-quarter results on August 31. The bank posted a towering net profit of $29.2 billion for the three-month period, thanks to an exceptional gain due to the gulf between the amount paid for Credit Suisse and its book value. 'Godsend' "UBS has pulled off the deal of the century," Switzerland's Socialist Party said, maintaining the "rescue" was more of a "godsend", allowing it to snatch up a bank at a dramatically reduced rate. "If we had chosen another path, (like) a temporary or partial nationalization," said Samuel Bendahan, a Socialist MP and economics professor at the University of Lausanne, the Swiss state "would have taken on the risk, but those $29 billion would have gone to the population". Instead, the takeover has created "a monopolistic situation", he told AFP, warning that while this might strengthen UBS, it puts Switzerland in an extremely risky position if the new mega-bank were to one day face a crisis. Politicians are not the only ones taking issue with the takeover. Gisele Vlietstra, founder of the Swiss Investor Protection Association, told public broadcaster RTS that UBS's towering quarterly profit confirms that the "intrinsic value" of Credit Suisse was "far higher" than the purchase price. She said she hoped that the lawsuits brought by her association and others on behalf of thousands of Credit Suisse shareholders will help determine "the correct value" that they should be compensated. 'Nickel and dime' "UBS paid a nickel and dime" and "got rid of its main competitor" in one fell swoop, Carlo Lombardini, a lawyer and banking law professor at Lausanne University, told AFP. The coming restructuring will clearly carry risks, "but having paid just three billion, it can't go wrong", he said, slamming the option chosen by the Swiss authorities. Like UBS, Credit Suisse was listed among 30 international banks deemed too big to fail because of their importance in the global banking architecture. But the collapse of three US regional lenders in March left the firm looking like the next weakest link in the chain. The Swiss government feared Credit Suisse would have quickly defaulted and triggered a global crisis, shredding Switzerland's reputation for sound banking. But its chosen option for dealing with the issue was certainly a boon to UBS, which will now swell to manage $5 trillion of invested assets. Confidence 'evaporated' UBS chief Sergio Ermotti acknowledged in a recent interview with the SonntagsZeitung weekly that the bank had been "worried" about its competitor since 2016, and had among other things looked into the possibilities of buying it, for fear a foreign lender might snap it up. He acknowledged that Credit Suisse may have survived for a time if the central bank had injected more cash, "but it would not have been enough, since confidence had evaporated". Since the takeover announcement in March, UBS has seen its share price soar 31 percent. But the bank still faces significant challenges, Vontobel analyst Andreas Venditti told AFP. The $29 billion "is a huge one-off gain, but this is just accounting", he said, stressing that "the losses and costs will come later". The analyst, who a few months ago wondered in a note whether UBS had secured "the deal of the decade or a decade of headaches", stressed that "it's going to be a huge task". He said it would only become clear "whether it was worth it" after most of the restructuring is done three years down the line. Parts of the business are continuing to "produce huge losses", he said, warning "many things can still go wrong". Swissquote analyst Ipek Ozkardeskaya agreed, recalling that "UBS was forced" into the merger. Now it is up to the bank to "transform an 'obligation' to its advantage". The post UBS’s Credit Suisse takeover, ‘deal of the century’? appeared first on Daily Tribune......»»
Salmon, Oradian seal partnership serving unbanked Filipinos
Oradian has included fintech innovator Salmon in its roster of valued customers, providing expertise by adopting Oradian’s advanced core system to drive its growth strategy, and to help the government attain its goal of improving the numbers of unbanked Filipino Currently servicing tens of thousands of customers, Salmon is a consumer fintech company built by a team of finance professionals and entrepreneurs and backed by world-class investors that develop better and more inclusive financial products with a focus on innovation, flexibility, security, relentless focus on customer care and added value for clients. The fintech firm started originally with in-store purchase financing, as Salmon had intended to expand its range of financial services to cover all the daily needs of clients in the Philippines and beyond, bridging the financial inclusion gap for millions of consumers. “We’re delighted to have found a technology partner in Oradian. As we enter a new stage of our institutional development and ready ourselves to deliver new product offerings, Oradian provides some essential tools that will power our continued growth,” said George Chesakov, CEO and co-founder of Salmon in a press conference on Wednesday. Founded in 2022, Salmon has already attracted a cumulative $36 million in equity and debt funding, reflecting deep confidence in its business model and growth potential. Essential recipe “Oradian offers a vital combination of flexible, scalable, best-in-class technology and comprehensive in-market customer support and expertise that enables us to drive growth, scale rapidly, and boost our performance. This is an essential recipe for remaining competitive in an increasingly crowded fintech landscape,” said Chesakov. Salmon’s early success is indicative of the strength and health of the Philippines’ financial technology market, particularly as the Bangko Sentral ng Pilipinas and the national government seek to promote digital lending and boost financial inclusion. The BSP in its report last month said 22 million Filipinos have gained access to formal financial accounts between 2019 and 2021. According to the 2021 Financial Inclusion Survey of the BSP, 34.3 million Filipino adults remained unbanked, as the country’s banked population was at about 56 percent of all adults in 2021, improving from just 29 percent in 2019. First cloud-native core banking system Oradian, the first cloud-native core banking system to be used by BSP-regulated financial institutions in the Philippines, has been serving institutional customers for more than 10 years, enabling enhanced growth and performance with its cloud-native, API-enabled platform. Reflecting on this new partnership, Antonio Separovic, CEO and co-founder of Oradian said: “Oradian’s mission is to partner with high-growth, tech-enabled financial institutions to drive growth and promote financial inclusion for last-mile communities. “Oradian’s system is designed for sophisticated tech-led teams like Salmon that leverage technology to scale financial services throughout the entire community — we’re excited to work alongside George and Salmon’s team as they meet these goals.” The post Salmon, Oradian seal partnership serving unbanked Filipinos appeared first on Daily Tribune......»»
Loan process simplified for DepEd teachers
City Savings Bank, the thrift arm subsidiary of the Aboitiz-led Union Bank of the Philippines, continues to make headway with its groundbreaking Loan Ranger Mobile App, which caters to the banking needs of Department of Education teachers. The mobile app provides public school teachers a fast, convenient and secure way to check their savings and loan account balances, as well as apply for a reloan anytime, anywhere. Over 170,000 DepEd teachers and employees have enrolled in Loan Ranger Mobile. True to its tagline “Simple is Good,” CitySavings has simplified the loan process for DepEd teachers. With Loan Ranger Mobile, teacher-clients can view their account balance in real time. If they qualify for a reloan, they can simply apply using the app, without having to visit a CitySavings branch. They can also check the status update of their loan application. Angelica Loretizo of Aurora Elementary School in Quezon Province said using the app now saves her long hours of travel to and from the branch. “The CitySavings Loan Ranger Mobile is very easy to use. I no longer have to worry about spending time commuting. It’s very convenient for teachers like me with just a few clicks to make our transaction. I hope all banks will have this kind of customer service,” Loretizo said. One of the key features of Loan Ranger Mobile is its simplicity and user-friendly interface. The app is designed to ensure a seamless navigation experience, making it accessible to all DepEd teachers, regardless of their level of technological expertise. The intuitive layout and easy-to-understand instructions enable users to easily perform banking transactions, eliminating the need for time-consuming visits to bank branches. It is also easy to register with Loan Ranger Mobile, which is available to download on Google Play Store, Huawei AppGallery and Apple App Store. Teachers can sign up with their existing CitySavings account or card number and validate their registration with a one-time password. They can then add their other savings and loan accounts with CitySavings to check their balances and pay bills. Soon, they can receive and transfer funds, and earn and redeem rewards. Recognized by International Finance Awards as the Most Innovative Savings Bank in the Philippines, CitySavings is committed to delivering exceptional, technology-driven banking experiences to its customers. This innovative solution further cements CitySavings’ vision to be the leading mass market bank in the country and the bank’s contribution to the Aboitiz Group’s Great Transformation growth strategy to become the Philippines’ first techglomerate, propelled by technology and a renewed entrepreneurial mindset. The post Loan process simplified for DepEd teachers appeared first on Daily Tribune......»»
Summit underscores cutting-edge cybersecurity strategies
A group of innovators, technologists, cybersecurity experts and regulators from Southeast Asia gathered at the recent FinTech Alliance Philippines Digital Transformation Summit, known as INDX3.0, to discuss the urgent need for fortified cybersecurity strategies in the nation’s rapidly evolving digital landscape. The summit, marked by its theme of “INDX3.0_Creating What’s Next in Digital” and championed by the ideals of Dare-Drive-Defy, featured Traxion CEO Ann Cuisia, a prominent figure in the Fintech and cybersecurity realm, as the distinguished moderator of the panel on “Strategic Considerations for Cybersecurity in the Philippines.” “The digital age has ushered in unparalleled opportunities, but with those opportunities come significant responsibilities. Our collective responsibility is to proactively shield our financial technologies from threats that can cripple businesses and our nation’s stability,” said Cuisia during an interview about the engaging panel discussion. As the chairwoman of the Cyber Security Committee of FinTech Alliance Philippines, Cuisia led the engaging dialogue attended by Joey Regala, Saurabh Lal, Roberto Tayag and Dr. Mary Joy Abueg, Undersecretary Alexander Ramos, Capt. Michelle Sabino and Fred Yap delved into multifaceted challenges faced by individuals and businesses in the era of digitization. With an insightful and proactive approach, she steered the conversation toward actionable solutions that could ensure the security of the country’s financial technologies. Cuisia’s moderation aptly underscored the gravity of the cybersecurity landscape, wherein modern conflicts transcend conventional battlefields and extend into the cyber realm. The panelists collectively emphasized the alarming rise of advanced persistent threats targeting organizations, influencers, and even ordinary individuals, underlining the need for comprehensive cybersecurity measures. Moreover, the summit unveiled the significant role of Artificial Intelligence applications in reshaping the fintech landscape. Cuisia highlighted that AI’s transformative potential comes with a heightened responsibility to ensure the security and integrity of these innovations, urging industry players to prioritize safety during AI development. The summit’s focus extended beyond theoretical discussions as concrete measures were brought to the forefront. Cuisia steered the conversation towards actionable solutions, such as the imperative role of public awareness, collaboration between government agencies and trusted fintech partners, and the swift reporting of cybersecurity breaches by corporations and businesses. In an exclusive insight, Cuisia discussed the concept of a “kill switch” for compromised bank accounts. She revealed that some Southeast Asian countries, such as Singapore, have already mandated this protective mechanism to secure mobile and Internet banking transactions. Cuisia urged a proactive approach, advocating for a similar safeguard in the Philippines, assuring enhanced security for the nation’s banking customers. As the INDX3.0 summit concluded, it became evident that Ann Cuisia’s vision for fortified cybersecurity, coupled with her adept moderation, had catalyzed a platform for strategic planning, collaboration, and knowledge-sharing. With cybersecurity challenges evolving and threats becoming more sophisticated, Cuisia’s call to action reverberates: the onus lies on the collective shoulders of industry leaders, experts, and innovators to safeguard the digital future of the Philippines. The post Summit underscores cutting-edge cybersecurity strategies appeared first on Daily Tribune......»»
Paleng-QR now available in Mandaue
The city government of Mandaue in Cebu has launched the digital payment Paleng-QR as it helps the Bangko Sentral ng Pilipinas expands the population of Filipino adults with bank accounts. “Paleng-QR aims to strengthen the financial resilience of Filipinos and help them maximize economic opportunities through inclusion in the formal financial system,” BSP Governor Eli Remolona Jr. said in a statement released Friday. Payments facilitated Paleng-QR facilitates payments for various purchases of businesses and customers at public markets by scanning QR codes using their e-wallets and banking mobile apps which offer other financial services. “This then leads to access to other welfare-enhancing financial services, such as formal credit in a digital way, and then access to savings, insurance, and of course, investing,” Atty. Charina B. De Vera-Yap, BSP’s financial inclusion and consumer empowerment officer, said. BSP targets to increase bank account holders from 51 percent of Filipino adults to 70 percent and cashless payments up to 50 percent of all retail transactions this year. Enabling Filipinos to thrive in digital era “We aim to enable more Filipinos to thrive in this digital era. The Department of the Interior and Local Government or DILG fully supports the Paleng-QR because we believe in this policy research-backed project, which emphasizes that in order for Filipinos to really adopt cashless transactions, the palengke is the right place to start,” DILG regional director Leocadio Trovela said. According to Fintech Alliance Philippines, the majority or 37 percent of the 285 digital financial firms in the country focused on e-payments last year, while 20 percent offered loans. Filipinos who are capable of owning bank accounts could increase from 65 million to 85 million, or 30 percent higher, by 2030 as digital wallet providers and banks become more popular, data from global market analyst McKinsey & Company revealed. The post Paleng-QR now available in Mandaue appeared first on Daily Tribune......»»
GoTyme logs 1-M depositors
The Gokongwei Group’s banking arm GoTyme Bank logged 1 million customers, a few months before its first-year anniversary on 20 October 2023. In a statement, Nate Clarke, GoTyme Bank president and CEO said the success of GoTyme was due to the digital platform’s consistent focus on human banking — the first in the Philippines with a “phygital” model that seamlessly blends the convenience of digital technology and human-led touchpoints in its operations. He said GoTyme also owes its success to the public confidence inspired by the tie-up between trusted local and international brands — the Gokongwei Group and the Tyme Group — that has allowed it to realize strong deposit growth and considerable traction of its ‘phygital’ banking that offers superior products and services built around its customers’ needs and wishes. Financial inclusion tool GoTyme redefined “preferred banking” as it democratizes access to the bank’s premium offerings regardless of the customers’ amounts in their accounts — a 5-percent interest rate per annum for all savings accounts, and no minimum maintaining balance, or regular deposits of specified amounts as required by other financial institutions. It also delivers on its promise to keep banking simple, secure and sustainable. “From the simplest account-opening procedure — GoTyme maintains kiosks in Gokongwei retail ecosystem, where, assisted by bank ambassadors, customers can open accounts for as modest as P50 using just one valid and accepted identification, upon which they will automatically get their GoTyme Bank Visa debit card — to the most exciting rewards system offered by what is arguably the best debit card today that allows customers and shoppers to earn points anywhere and everywhere, it’s no surprise that GoTyme’s market penetration is simply “getting better and better,” according to Clarke. Clarke said artificial intelligence technology in banking had improved customer experience — using chatbots from account inquiries to money transfers, loan applications, financial advice, account management, and many more, according to a Forbes 2023 article. Based on a Economist Intelligence Unit survey, 77 percent of bankers believe that the ability to unlock the value of AI will spell the difference between the success or failure of banks. The post GoTyme logs 1-M depositors appeared first on Daily Tribune......»»
DoF: Rural banks should adopt tech
Rural banks must speed up the integration of digital services in their systems to allow more Filipinos to obtain various financial services, Finance Secretary Benjamin Diokno said. “The digital divide has continued to widen, leaving vulnerable sectors of the society on the margins of economic progress,” Diokno said in a statement shared Monday by the Rural Bankers Association of the Philippines. RBAP has at least 400 members and is celebrating their rural banking consciousness week until Saturday with the theme “Rural Banks: Ensuring that No Juan is Left Behind in the Age of Digitalization.” He stressed the digital gap in banking among Filipinos is evident despite the rise of digital technologies in banking, including mobile apps and the cloud system which is an online data-sharing tool and computer programs manager. A 2022 survey by the Bangko Sentral ng Pilipinas showed 55 banks could adopt digital technologies efficiently. “With accelerated adoption of digital technologies in recent years, access to financial services and critical information has never been more readily available to the general public. DoF supports RBAP’s initiative to integrate financial technologies in their services to expand access to formal credit,” the finance chief said. Opportunity to expand services Citing the performance of ASA Philippines, a microfinance lender to rural entrepreneurs, the Asian Development Bank said rural banks could expand their loan portfolios by over 50 percent using cloud technology. To help modernize the systems of rural banks, global market analyst McKinsey & Company said foreign expertise and resources can be tapped to reach over 71 million Internet users in the Philippines and the projected growth in Filipinos with bank accounts from 50.3 million to 85 million by 2030. “The underserved rural sector is well suited to digital-first or hybrid offerings, and recent changes to onboarding requirements and agent-banking rules are designed to enable digital service providers to maximize the impact of the country’s limited rural banking infrastructure,” McKinsey analysts said. The post DoF: Rural banks should adopt tech appeared first on Daily Tribune......»»
Lebanon freezes former central bank chief’s bank accounts
Lebanon ordered the freezing of the bank accounts of its embattled former central bank governor on Monday, days after the United States, the United Kingdom, and Canada slapped him with sanctions. Former governor Riad Salameh, 73, who left his post of 30 years at the end of last month without a successor, is widely viewed as a key culprit in the country's dramatic economic crash. The central bank's special investigation committee has ordered the lifting of banking secrecy as well as the freezing of accounts "that are directly or indirectly" linked to Salameh, it said in a statement. The same decision measures were applied to Salameh's son Nady, his brother Raja, his former assistant Marianne Hoayek and his former partner Anna Kosakova. On 10 August, the US Canada and Britain announced sanctions against Salameh, his brother Raja, and Hoayek, while Washington and London also included his former partner Kosakova in their lists. In addition, the US sanctioned his son Nady Salameh. Salameh is wanted in France and Germany, and Interpol has issued a Red Notice for his arrest, but Lebanon does not extradite its nationals. Lebanon's deeply divided political class has failed to agree on a permanent replacement for Salameh, creating another power vacuum in a country that also has no president and is ruled by a caretaker government. The central bank's first vice-governor, Wassim Manssouri, has temporarily picked up the reins. A preliminary forensic audit of Lebanon's central bank by professional services firm Alvarez & Marsal (A&M) has painted a damning picture of the institution under Salameh. The post Lebanon freezes former central bank chief’s bank accounts appeared first on Daily Tribune......»»
RCBC’s card use drives P6-B H1 profit
Universal lender Rizal Commercial Banking Corp., or RCBC, recorded a net income of P6.2 billion in the first half, mostly due to increased credit card transactions. Gross income jumped by 10 percent to P23.5 billion in the first half from the same period last year, with income from credit card transactions surging by 48 percent, the bank reported to the Philippine Stock Exchange said. Bill collections grew 54 percent which RCBC attributed to “personalized and data-driven campaigns.” Loans increased by 14 percent as the bank said consumer and corporate lending “sustained their momentum toward an 18 percent growth.” Meanwhile, total deposits increased by 22 percent, reflecting the 17 percent growth in low-cost current and savings accounts. RCBC attributed the higher savings to its growing number of depositors in “retail and small and medium enterprises outside Metro Manila.” Basic banking via app Through its improved mobile app RCBC Pulz, the bank said clients can avail of its basic banking services and investing products in a more convenient process. “RCBC continues to perform better than the industry as we focus on high-growth segments and equip our people with digital and data science tools,” RCBC president Eugene Acevedo said. Total assets expanded by 17 percent to P1.2 trillion, resulting in a better-annualized return on assets ratio of 1.11 percent. Meanwhile, annualized return on equity improved to 11.1 percent. RCBC said it expects capital ratios to improve by over 300 basis points through the completion of the P27-billion capital infusion from Japan’s Sumitomo Mitsui Banking Corp. The post RCBC’s card use drives P6-B H1 profit appeared first on Daily Tribune......»»
Slower Q2 growth as inflation bites
The economy may have slowed further in the second quarter, private economists said, as persistent inflation and higher interest rates continued to affect consumer spending. Forecasts in the survey conducted by Daily Tribune spanned from 5.6 percent to 6.1 percent, yielding a median estimate of 5.9 percent gross domestic product, or GDP, growth from April to June this year. The economy grew by 6.4 percent in the first quarter, the weakest growth rate since the first quarter of 2021, when it contracted by 3.8 percent. This year’s first quarter growth is slower than the 8 percent increase in the same period last year and the 7.1 percent growth in the preceding quarter. The Philippine Statistics Authority is scheduled to report the second quarter GDP growth data on Thursday, 10 August. Security Bank: 6.1% growth Security Bank’s senior assistant vice president and chief economist Robert Dan Roces expects the Philippine economy to grow by 6.1 percent in the second quarter. He added growth may have been driven by the still robust consumer spending and improved exports. “Private investments continued in the second quarter, supporting economic activity, while low government consumption served as a dampener,” Roces said in an emailed commentary. “The downside risks to growth include the risks to sticky inflation, elevated interest rates, and weaker global economic growth,” Roces added. Michael Ricafort, chief economist at Rizal Commercial Banking Corp., who predicted a 6 percent growth, noted the stronger consumer spending and election-related expenditure amid easing pandemic restrictions, but not without flagging the impact of inflation in the second quarter. He also said that the lower individual income tax rates that went into effect earlier this year might have caused the increase in consumer spending. “Lower individual income tax rates starting January 2023 for most income brackets as part of the TRAIN Law, could lead to increased consumer spending, which accounts for at least 75 percent of the economy, and, in turn, lead to faster economic growth,” Ricafort told Daily Tribune in a Viber Message. China Banking Corp. chief economist Domini Velasquez expects a 5.9 percent GDP growth due to some factors, including higher inflation, which could have offset post-pandemic spending, and lukewarm government spending. “We saw substantial increases in infrastructure spending, but both PS and MOOE growth remained lukewarm,” Velasquez said in a Viber message. “There is a need to hasten government spending in identified agencies lagging behind.” Moving forward, Velasquez expects continued moderation in economic activities as elevated policy rates impact business and household spending. In the third quarter of this year, Velasquez expects the country’s economy to grow to around 5.5 percent and full-year growth to average 5.8 percent, just shy of the government’s 6.0 percent low-end target. In a virtual briefing last 19 July, First Metro Investment Corp. and the University of Asia and the Pacific that the Philippine economic growth likely slowed to 5.6 percent in the second quarter. “I do expect a slowdown in the second quarter to 5.6 percent,” UA&P economist Victor Abola said in the virtual briefing. “It’s really the carryover of inflation to the second quarter; even though it’s lower, people are still a bit more reluctant,” he added. While consumption is expected to slow down in the second quarter, Abola expects a rebound in the second half of the year. The post Slower Q2 growth as inflation bites appeared first on Daily Tribune......»»
Phl economic growth may slow in Q2
The Philippine economy may have slowed further in the second quarter of 2023, private economists said, as persistent inflation and higher interest rates continue to affect consumer spending. Forecasts in the survey conducted by Daily Tribune spanned from 5.6 to 6.1 percent, yielding a median estimate of 5.9 percent gross domestic product (GDP) growth from April to June this year. For context, the Philippine economy grew by 6.4 percent in the first quarter, the weakest growth rate since the first quarter of 2021, when it contracted by 3.8 percent. This year's first quarter GDP growth is slower than the 8 percent increase in the same period last year and the 7.1 percent growth in the preceding quarter. The Philippine Statistics Authority (PSA) is scheduled to report the second quarter GDP growth data on Thursday, 10 August. Security Bank's Senior Assistant Vice President (SAVP) and Chief Economist Robert Dan Roces, who expects the Philippine economy to grow by 6.1 percent in the second quarter of 2023, said the growth may have been driven by the still robust consumer spending and improved exports. "Private investments continued in the second quarter, supporting economic activity, while low government consumption served as a dampener," Roces said in an emailed commentary. "The downside risks to growth include the risks to sticky inflation, elevated interest rates, and weaker global economic growth," Roces added. Michael Ricafort, chief economist at Rizal Commercial Banking Corp., who expects a 6.0 percent growth, noted the stronger consumer spending and election-related expenditure amid looser pandemic restrictions, but not without flagging the impact of inflation in the second quarter this year. He also said that the lower individual income tax rates that went into effect earlier this year might have caused the increase in consumer spending. "Lower individual income tax rates starting January 2023 for most income brackets as part of the Train Law, could lead to increased consumer spending, which accounts for at least 75 percent of the economy, and, in turn, lead to faster economic growth," Ricafort told Daily Tribune in a Viber Message. Meanwhile, China Banking Corp. chief economist Domini Velasquez expects a 5.9 percent GDP growth due to some factors, including higher inflation, which could have offset post-pandemic spending, and lukewarm government spending. "We saw substantial increases in infrastructure spending, but both PS and MOOE growth remained lukewarm," Velasquez said in a Viber message. "There is a need to hasten government spending in identified agencies lagging behind." Moving forward, Velasquez expects continued moderation in economic activities as elevated policy rates impact business and household spending. In the third quarter of this year, Velasquez expects the country's economy to grow to around 5.5 percent and full-year growth to average 5.8 percent, just shy of the government's 6.0 percent low-end target. In a virtual briefing last 19 July, First Metro Investment Corp. (FMIC) and the University of Asia and the Pacific (UA&P) that the Philippine economic growth likely slowed to 5.6 percent in the second quarter. "I do expect a slowdown in the second quarter to 5.6 percent," UA&P economist Victor Abola said in the virtual briefing. "It's really the carryover of inflation to the second quarter; even though it's lower, people are still a bit more reluctant," he added. While consumption is expected to slow down in the second quarter, Abola expects a rebound in the second half of the year. The post Phl economic growth may slow in Q2 appeared first on Daily Tribune......»»
BSP target: 70% of adult Filipinos to have bank accounts
The country's central bank may achieve its aim of having 70 percent of adult Filipinos with bank accounts later this year as more Filipinos are now part of the official financial system, the new Bangko Sentral ng Pilipinas (BSP) chief recently said. "In our financial inclusion survey in 2021, 56 percent of [adults] in the country had a bank account, a significant increase from just 23 percent in 2017," he said during the BSP 30th Anniversary Reception for the Banking Community. "We're confident we will reach our target of 70 percent by this year," he added. Remolona attributed digitalization to financial equality in the country, allowing people to save money, invest in their futures, and participate in the digital economy more effectively. He added that more Filipinos made more digital payments and formally opened bank accounts. "We're making some progress. At last count, 42 percent of retail payments were in digital form. This is up from just one percent 10 years ago. That proportion should hit our target of 50 percent this year," Remolona said. So far, 258 digital payment companies have been given licenses by the BSP. Remolona expects competition and network effects to result in a system where the "most innovative, efficient, and responsible providers truly respond to customers' needs." Meanwhile, on the sidelines of the banking event, BSP deputy governor Bernadette Romulo-Puyat said that the central bank's recently deployed coin deposit machines (CODM) in various retail locations across Greater Manila Area have already recorded P12 million worth of deposits within just one month of operation. "It's been only one month since we deployed all the machines, but we started with just ten machines. Yet, we have already received 12 million worth of deposits," Puyat told reporters. The machines located in Robinsons Manila, SM Hypermart, SM, and Filinvest Alabang have been experiencing heavy foot traffic, with the Robinsons Manila machine being the most popular. The influx of people depositing coins has been attributed to the artificial coin shortage in circulation, as people tend to keep their coins at home or find it troublesome to deposit them at the banks. The coin deposit machines accept all coins except unfit ones and reject deposits with scotch tape or other items mixed with the coins. Puyat also shared that the highest deposit received was worth P50,000 in coins, which the depositor immediately converted to e-wallet credits. "In fact, 98 percent of depositors use e-wallets for their transactions," Puyat said. The BSP plans to expand the initiative to more locations in Metro Manila. When asked about future plans, she mentioned, "We're planning to relaunch it with Gov. Eli (Remolona) and maybe in Pasig, as Mayor Vico texted me. He also wants it in Pasig." The post BSP target: 70% of adult Filipinos to have bank accounts appeared first on Daily Tribune......»»
Twitter website replaces bird logo with X
Twitter launched its new logo on Monday, replacing the blue bird with a white X on a black background as the Elon Musk-owned company moves toward rebranding as X. The social media network's website showed the company's new logo, but its URL was still showing as twitter.com and the blue "Tweet" button was visible, suggesting the rebrand was not yet finalized. Musk and the company's new chief executive Linda Yaccarino announced the rebranding Sunday, saying the company would be renamed X and move later into payments, banking, and commerce. Founded in 2006, Twitter takes its name from the sound of birds chattering, and it has used avian branding since its early days, when the company bought a stock symbol of a light blue bird for $15, according to the design website Creative Bloq. Musk changed his profile picture late Sunday to the company's new logo, which he described as "minimalist art deco," and updated his Twitter bio to "X.com," which now redirects to twitter.com. He also tweeted that under the site's new identity, a post would be called "an X." Musk had already named Twitter's parent company the X Corporation and has said his takeover of the social media giant was "an accelerant to creating X, the everything app" -- a reference to the X.com company he founded in 1999, a later version of which went on to become online payments giant PayPal. Such an app could still function as a social media platform and also include messaging and mobile payments. Musk had previously said he wanted to create a super-app modeled on China's WeChat, a social media platform that also offers messaging and mobile payments. "You basically live on WeChat in China because it's so usable and helpful to daily life, and I think if we can achieve that, or even get close to that at Twitter, it would be an immense success," he told a company town hall meeting in June last year. The new logo was projected onto the facade of Twitter's San Francisco headquarters on Sunday night. "Powered by AI, X will connect us in ways we're just beginning to imagine," Yaccarino tweeted earlier. Yaccarino, a former advertising sales executive at NBCUniversal who Musk hired last month to be Twitter's CEO, said the social media platform was on the cusp of broadening its scope. "X is the future state of unlimited interactivity – centered in audio, video, messaging, payments/banking – creating a global marketplace for ideas, goods, services, and opportunities." Simon Kemp, CEO of digital consultancy Kepios, said he was skeptical that Twitter could evolve into a super-app. "Given how Musk has treated Twitter's own employees since the acquisition, I don't imagine many developers will rush to build third-party apps to integrate into the Twitter ecosystem unless Musk can offer outstanding incentives, and that'll be extra tricky given the company's existing debt." But he also said the platform had the potential to become "a great (global and paid) news aggregator." New revenue streams Since Musk bought Twitter for $44 billion last October, the platform's advertising business has partially collapsed as marketers soured on Musk's management style and mass firings at the company that gutted content moderation. In response, the billionaire SpaceX boss has moved toward introducing payments and commerce through the platform in a search for new revenue. Twitter is thought to have around 200 million daily active users, but it has suffered repeated technical failures since Musk sacked much of its staff. Many users and advertisers alike have responded adversely to the social media site's new charges for previously free services, its changes to content moderation, and the return of previously banned right-wing accounts. Musk said this month that Twitter had lost roughly half of its advertising revenue since he took control. Facebook parent Meta also launched its text-based platform this month, called Threads, which has up to 150 million users according to some estimates. But the amount of time users spend on the rival app has plummeted in the weeks since its launch, according to data from market analysis firm Sensor Tower. The post Twitter website replaces bird logo with X appeared first on Daily Tribune......»»
Future of banking unfolds with AI, blockchain
Artificial intelligence, or AI, is increasingly forcing traditional banks to become more digital for compelling reasons. Experiments with this technology show banks ways to speed up their product design, widen customer access to loans, and build an organized and secure record of financial transactions. “My perspective is that the future of banking is digital banks. With AI, traditional banks are saying, I’m going to provide a service through someone else, and you see suddenly that you have this almost Rubik’s cube of possibilities,” David Hardoon, group chief data officer of Union Bank of the Philippines and chief executive officer of Aboitiz Data Innovation, said. [caption id="attachment_161492" align="aligncenter" width="1440"] David Hardoon, group chief data officer of Union Bank of the Philippines and chief executive officer of Aboitiz Data Innovation.[/caption] Both operate under the Aboitiz Group, which aims to be the first tech conglomerate in the Philippines. AI helps humans analyze data by categorizing information, stitching related data, and automatically detecting unusual patterns or activities logged in computer devices. “It’s the capability to distill from complex information,” Hardoon said. For example, he said the Union Bank team could quickly gauge its performance by looking at the AI-processed analysis of customer feedback they sent through email or chatbots. “Just beyond calculating the number of happy and unhappy individuals, it helps us understand what is happening. When we listen to the customer, we can say if we need to create a new product or service that we weren’t aware of or adjust an existing product.” Hardoon said the products or services include the company website, which some customers might need help to navigate initially. “We realized that some issues are related to information on the website. The way we designed it isn’t the best. Okay, we change it. And that’s how we use that feedback continuously, across all channels.” Hardoon said all managers could be updated on any bank problems through AI as the technology pools information into a single system. “But there’s also been a few other emails that have come in with other offices, which I may not be aware of unless I’ve had an in-person conversation with the team. This tool runs continuously in the background and can identify my teammate and say, David, this may be coming up.” AI coupled with blockchain also allows the bank to reach more customers who lack traditional bank accounts but have incomes and can repay loans. Blockchain is an online data storage that links various data types and identifies their sources. In this way, individuals can build proof of financial capacity to avail of loans. Hardoon explained that this technology mix could provide loans to small business owners, such as sellers on Facebook, to ensure they have enough working capital or funds to expand their operations. “The blockchain layer can provide me with that authenticated aspect, saying it comes from Facebook, not some spoofed website. Or if you’re working with another vendor providing you with product ingredients. That now becomes another block in the chain.” With analysis and data traceability features of AI and blockchain, Hardoon said bank managers could also reduce losses from clients as the technologies guide them in adjusting their terms for new loans based on their credit and payment histories. “They can help calculate risks. For example, I will give you P10,000 and see how you respond. Respond. When I see it’s good, or the client paid, I can give P100,000 next time. We need to remember that it’s always this learning process because, fundamentally, the principle of risk is the same.” With these benefits, Hardoon said digital banks will likely become an easy option for Filipinos to fulfill their financial needs. “So it’s completely different to a certain extent from the traditional. Now you have AI and blockchain to incorporate as a new capability. The digital bank, in principle, can simply plug and play.” The post Future of banking unfolds with AI, blockchain appeared first on Daily Tribune......»»