The use of EGov Pay, a system that enables digital payment for government services, jumped by 467 percent to over 91,000 transactions at end-2021 from around 16,000 transactions a year earlier, according to the Bangko Sentral ng Pilipinas (BSP).
The BSP also reported that the value of EGov Pay transactions increased by 300 percent, from around Php61 million in 2020 to nearly Php246 million in 2021.
“The sustained increase in the use of EGov Pay, even after mobility restrictions were lifted, proves the shifting preference of consumers towards greater adoption of digital payments,” said BSP Governor Benjamin E. Diokno.
The most common payments processed through EGov Pay are fees for government clearances as well as taxes. From only two government billers when the facility was launched in 2019, 484 billers have been onboarded to EGov Pay at end-April this year. The billers include provincial and local government units, state colleges and universities, water districts, and other government agencies and offices.
By participating in EGov Pay, government institutions can efficiently collect revenues, which are crucial to their delivery of public and social services. Moreover, the government may curb revenue leaks through efficient collection means, a better audit trail, and enhanced transparency.
Recently, President Rodrigo R. Duterte signed Executive Order (EO) No. 170 mandating the adoption of digital payments for government disbursements and collections by all departments, bureaus, offices, and agencies, including government-owned or -controlled corporations.
The EO is in line with government’s thrust to develop an inclusive digital finance ecosystem consistent with the BSP’s Digital Payments Transformation Roadmap 2020-2023 and the National Strategy for Financial Inclusion 2022-2028.
It also complements whole-of-government initiatives to make formal financial and payment services more accessible, convenient, and safer for all Filipinos especially those from vulnerable and underserved sectors.
