ONLINE TRANSACTIONS conducted via PESONet and InstaPay grew 43% year-on-year to 5.37 trillion pesos in the first seven months, driven by disbursements from public pension funds and wider use of payment platforms digital, the central bank announced on Thursday.
The Bangko Sentral ng Pilipinas (BSP) said in a statement that PESONet and InstaPay also saw over 348 million transactions from January to July, up 24% from a year ago.
Broken down, the value of transactions made via PESONet increased by 47% to reach 3,460 billion pesos in the first seven months of the year.
The volume of transactions passing through the payment gateway amounted to 48 million transactions between January and July, an increase of 22% compared to the previous year.
“The increase in PESONet transactions was mainly due to disbursements from state-run pension funds facilitated by the Development Bank of the Philippines, which began in September 2020,” the BSP said.
These disbursements from pension funds were made twice a month with an average volume of 1.5 million transactions worth 6.8 billion pula for the period from January to July, the central bank added.
Meanwhile, the value of transactions made through InstaPay also increased by 37% year-on-year to reach 1.91 trillion pesos in the first seven months of 2022.
InstaPay transaction volume increased by 25% to more than 300 million transactions during the same period.
The central bank attributed the increase in InstaPay transactions to the wider use of online banking and e-money transactions for domestic remittances, e-commerce, bill payments and other low-value immediate payments. .
PESONet and InstaPay are automated clearinghouses launched as part of the central bank’s National Retail Payment System (NRPS).
PESONet is aimed at high value transactions and can be considered an electronic alternative to the paper check system.
On the other hand, InstaPay is a real-time, low-value electronic funds transfer facility for transactions up to P50,000 and is especially useful for remittances and e-commerce.
The increase in PESONet and InstaPay transactions is expected to help the BSP achieve its twin goals of having 50% of retail payments made digitally and 70% of adult Filipinos being part of the formal financial system by 2023. – Keisha B. Ta-asan