The government is determined to fuel the country’s growth momentum by building a policy environment that is conducive to sustainable digital finance, Finance Secretary Benjamin Diokno said.
“We are establishing a fertile policy space that allows for a sustainable digital finance ecosystem to take root and thrive,” Diokno said in a recorded message during the Singapore FinTech Festival Industry Collaboration Media Kick-Off in Taguig yesterday.
The Department of Finance (DOF) said in a statement the government is aiming to broaden public access to information by using open data formats, lowering barriers to internet connectivity and boosting broadband access in the country.
With this, Diokno shared five Infrastructure Flagship Projects that will boost digital connectivity: Digital Transformation Centers, National Government Data Center, National Broadband Program, Road Transport Information Technology Infrastructure Project Phase II and the Philippine Identification System.
“Four of these are already ongoing while one is under project preparation. Together, the indicative total project cost amounts to about $1.7 billion,” he said.
Furthermore, the DOF said the government has been continuously rolling out programs to enhance digital bureaucracy in order to deliver better services, such as targeted social protection and more efficient employment-opportunity linking systems.
“Digitizing government transactions will help us increase the share of digital transactions in total payment volume to at least 50 percent, as envisioned in the Digital Payments Transformation Roadmap,” Diokno said.
The finance secretary cited the Bureau of Internal Revenue’s Digital Transformation Program, which expanded its range of electronic payment channels that allow taxpayers to file and pay taxes online. As a result, 69 percent or more than half of total returns were filed electronically in 2022.
The Securities and Exchange Commission, Bureau of the Treasury and the Land Bank of the Philippines have likewise launched their own electronic filing and online payment systems to give greater access to financial services.
To eliminate delays and problems associated with traditional ways of governance, the government is pushing for the passage of the E-Governance bill, which mandates the adoption of information and communications technology across government agencies.
Diokno urged the private sector to leverage digital infrastructure and data to collaborate, develop innovative business models and navigate disruption.
He highlighted the crucial role of fintech in reaching the unbanked segments of the population and the need to reinforce this with stronger consumer protection.
“For digital transformation to succeed, we must close the digital gap and ensure that the gains from digitalization are broadly shared,” Diokno said.
