Country _ Name
Payment services
FinTechs belonging to this category offer alternative payment services which are supposed to provide a faster and cheaper way for national, European, and international payments for private and business customers by using new technologies.

For example, payment service providers hereby offer solutions to easily integrate several payment services in online shops.

Some FinTechs furthermore provide real cash register systems and online-reservation solutions for restaurants and shops providing their own payment services or making use of the payment services of FinTechs described above.


Attitude of the country towards modern payment services

Payment systems are defined by the National Payment Systems Act (NPSA) as “the set of payment instruments, processes, procedures and participants that ensures the circulation of money or movement of funds”. 

Prior to the enactment of the NPSA, payment services were not specifically regulated; in issuing the statute and related implementing rules and guidelines, policymakers are seen as trying to catch up with, and trying to protect consumers that were engaging more and more in online transactions or making digital payments. Acceptance and the use of digital payment channels and services is fairly high, Authorities do not appear to harbour significant reservations on the roll-out of such services here, provided of course, that licensing and related requirements are complied with.

Legal affairs

Obligations and requirements to provide payment services or ancillary services described above

Under Philippine laws, an operator of payment systems (OPS) would include providers that operate, maintain or process solutions that integrate payment or fund transfers that can be used by consumers transacting on online stores.  Entities operating standalone applications that customers of third parties can use to pay their bills online, pay for goods and services at designated payment centres, or that facilitate peer-to-peer fund transfers would be considered OPS. 

Entities that intend to operate payment systems need to register with the Bangko Sentral ng Pilipinas (BSP; the Philippine Central Bank) within one month from their start of operations and obtain a Certificate of Registration (COR) as an OPS, except in certain instances where registration is required prior to commencement of operation. The registration process is initiated through the submission of an application form, business plan, and a copy of the entity’s business permit indicating its line of business. Once the COR is issued, the OPS shall pay a registration fee of PhP20,000 (approx. US$384).

The OPS should also comply with corporate governance obligations set by the BSP (such as the appointment of independent directors to the board). An OPS would also need to register with the Anti-Money Laundering Council.

Additional comments regarding the legal situation for payment services or what FinTech’s must be aware of in this business area

The NPSA grants the BSP oversight authority over all payment systems in the Philippines. As such, if the BSP finds an entity to be operating payment services without a license, the BSP will first require the entity to register, and if the entity remains unregistered, the BSP may deploy enforcement and corrective actions and impose sanctions on the entity and its directors, officers and/or employees. 

Economic conditions

Market size for payment services and biggest payment service providers

Market reviews note that in 2020, total transaction values for digital commerce were at US$8.671 billion, and US$2.185 billion for mobile Point-of-Sale payments (World Bank, Philippines



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