BSP unveils new program to strengthen rural banking sector – UNTV News

Manila, Philippines – The Bangko Sentral ng Pilipinas (BSP) reminded financial institutions on Tuesday that the Philippine Identification System (PhilSys) or national ID document is considered sufficient proof of identity to open a bank account.

In a statement, the BSP said that financial institutions supervised by the BSP (BSFI) should accept the national identity card, in both physical and mobile formats, as sufficient proof of identity without the need for another document. identity.

Central Bank Appeal Supports Memorandum No. M-2021-057 issued by the Statistics Authority of the Philippines (PSA), which reminds all government and private entities to accept the PhilID card as proof of identity sufficient, subject to proper authentication. This is in accordance with Republic Law # 11055 or PhilSys Law.

“PhilSys will help more Filipinos, especially marginalized and low-income people, to start saving money in banks and other BSFIs,” BSP Governor Benjamin Diokno said.

Diokno added that the national ID system will support the large-scale opening of transaction accounts, especially the basic deposit account, designed to meet the needs of the unbanked.

The PhilSys will offer online and offline methods for identity authentication through PhilID physical security features, digital QR code verification, biometric verification and SMS one-time password (OTP).

These features will facilitate stronger and more secure identity verification methods than traditional methods such as manual comparison of the handwritten signature with the specimen.

The BSP has also asked BSFI to include the PhilID in their list of valid identification documents.

“As a fundamental digital identification system, the BSP sees the PhilSys as a game changer for financial inclusion, a state in which there is effective access to a wide range of financial services for all,” he said. -he declares.

“In addition to contributing to the massive opening of transaction accounts, PhilSys is expected to transform the way services are delivered and accessed in the Philippines, accelerating the country’s transition to a digital economy,” he added.

As of October 21, 2021, the number of transaction accounts opened due to the co-location of PSA registration sites and Land Bank account opening facilities stood at 5,922,304 accounts, BSP said.

About the author