The QR PH program aims to enhance digital payments even more.
The Bangko Sentral ng Pilipinas’ (BSP) payment system, which uses the rapid response (QR) code, has been identified by a bank executive as a driver for increasing digital payments in the Philippines.
The compatibility of the codes under the QR PH initiative, which employs QR technology in financial transactions, presents enormous potential for electronic payments, according to Asia United Bank (AUB) senior vice president Wilfredo Rodriguez Jr. in a virtual briefing on Wednesday.
He believes the QR PH initiative will boost the bank’s app-based digital prepaid bank account product, Hello Money, particularly with the increased number of businesses with which account holders may simply transact.
“We believe that QR payments have a lot of promise. We’ve onboarded a number more merchants, and we’re seeing increased digital payments as a result of the QR PH interoperable QR PH QR codes,” he added.
QR PH is one of the central bank’s initiatives aimed at increasing the proportion of digital payments in total financial transactions in the country.
The BSP recently launched the QR PH person-to-merchant (P2M) payment system, an electronic payment system that allows buyers to pay for small-value transactions like jeepney or tricycle fares, as well as payments of goods and services to micro, small, and medium enterprises (MSMEs) at no cost to the buyer.
This payment technique involves the buyer scanning the seller’s or service provider’s QR code to pay for an item or service.
The central bank wants digital payments to account for roughly 20% of all financial transactions in the country by 2020, which the BSP stated has been significantly exceeded, and to account for around 50% of the total by 2023.
According to Rodriguez, they responded to the central bank’s request by launching Hello Money in the fourth quarter of 2019 and have approximately 2 million customers too far.
Users of Hello Money may access their accounts, make virtual fund transfers, pay bills, undertake electronic loads, and pay with a QR code, among other things.