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PHLPost and partner financial platform to expand services
The Philippine Postal Corporation (PHLPost) and UBX, a prominent open finance platform in the Philippines, have joined forces to establish “Kasama Lahat,” a capacity development project that will turn the nation’s top postal service into a contemporary hub that provides financial and data services.
In order to promote financial inclusion, especially in remote areas, Postmaster General Norman Fulgencio and UBX President John Januzczak inked an agreement on Thursday to convert each post office outlet into a community financial center.
In a news release on Saturday, Fulgencio stated that the Post Office Digital Innovation “signals the commitment and support of the Post Office under the new government of President Ferdinand Marcos Jr. in serving the public who deserve no less than the greatest postal service worldwide standards.”
In accordance with the cooperation, UBX will offer the technical expertise in open finance and digital finance that the Post Office needs to accelerate its digital transformation process.
The Post Office is in a good position to offer its customers the necessary financial services through its network of cities and towns around the country because of its ubiquity and scope.
The Post Office will be able to turn thousands of its locations nationally into financial hubs offering a variety of services including disbursements, fund transfers, cash withdrawals, loan applications, payments, insurance, and collections through the “Bangko sa Barangay” service of UBX.
There are over 1,300 PHLPost locations nationwide.
“This innovative collaboration with the Post Office demonstrates our steadfast commitment to integrating everyone into the nation’s financial system. The Post Office has the ability to promote financial and social inclusiveness through its digital transformation project thanks to its reach and data, according to Januzczak.
The cooperation will enable postmen or letter carriers to become cash agents in addition to making each postal store into a neighborhood financial hub. They will receive training on how to supervise the delivery of these services as well as how to give advice on how to apply for financial goods and services.
In the long run, “Kasama Lahat” wants to turn the Post Office into Open Finance Hubs that can handle data transactions like customer information verification for loan applications, asset verification, and even services like debt collection or debt restructuring.
Additionally, the Post Office will be able to develop a product line that will allow it to operate independently of government funding, enhancing its ability to preserve its corporate culture.
It will be able to carry out its modernization goal thanks to the profit margins.
“Powered by UBX, our digital transformation journey has allowed us to broaden our offerings beyond the postal requirements of the Filipino people. We are in a unique position to offer financial services that encourage both financial and social inclusion in the country, Fulgencio remarked, thanks to our network of more than 1,300 stores and more than 3,500 postmen.
According to data from the Bangko Sentral ng Pilipinas, 47% of Filipino adults still lack bank accounts.
By 2023, the government wants at least 70% of adult Filipinos to be part of the financial system.