THE Bangko Sentral ng Pilipinas (BSP) reported a big jump in PESONet transactions, following the implementation of a multiple batch settlement (MBS) facility for the electronic funds transfer service.
Over the weekend, the BSP said the total value of PESONet transactions jumped by 48.1 percent to reach P2.9 trillion in the first half of the year. The number of transactions processed during the period also increased by 28.7 percent, to a total of 40.8 million transactions.
Launched in November 2017, PESONet is the first automated clearing house under the National Retail Payment System. It can be considered as an electronic alternative to paper-based check payments.
In January this year, the BSP and the Philippine Payments Management Inc. (PPMI) launched the MBS to increase the frequency of PESONet settlements from once to twice a day. Settlements are done at 10 AM and 4 PM on weekdays.
“The PESONet MBS increased the frequency by which payments are received by beneficiaries, allowing for faster clearing and settlement of personal transactions.
This enhancement reduced production cycle time and improved business productivity as funds are received by and made available to the payees earlier,” the BSP said.
Then BSP Governor Benjamin Diokno earlier said the MBS will not only allow for more volume clearances, it will also help in the risk management of participating banks.
“PESONet MBS allows for better risk management for participating banks and electronic money issuers as settlement of transactions may be divided within two cycles in a banking day,” said Diokno, who has since been appointed Finance secretary.
The former governor also said the morning and end-of-day settlement cycles of PESONet fund transfers aims to address the business community’s demand for shorter clearing intervals to better manage cash flows.
“For example, a business can ensure timely crediting of payroll funds since PESONet MBS allows the transfer of funds and the receipt of the same by employees within the same banking day. Since funds are made available earlier, PESONet MBS can cut production cycle time that boosts economic productivity,” Diokno added.
Following the release of the latest data on the value and volume of PESONet transactions, the BSP said the MBS supports their goals of digitizing at least 50 percent of total retail payments in the country, and onboarding at least 70 percent of Filipino adults into the financial system by 2023.
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