TRANSACTIONS made through PESONet and InstaPay continued to climb as of end-November, with the combined value breaching P11 trillion, amid the fast adoption of electronic fund transfers, data from the Bangko Sentral ng Pilipinas (BSP) showed.
The combined value of transactions done via automated clearing houses PESONet and InstaPay increased by 30.3% to P11.6 trillion at end-November from P8.9 trillion in the same period in 2022.
In terms of volume, transactions via the two payment systems climbed by 44.8% to 824.856 million in the same period from 569.665 million transactions a year prior.
“The consistent expansion of InstaPay and PESONet transactions may be attributed to several factors, including convenience, accessibility, cost-effectiveness, and security,” Security Bank Corp. Chief Economist Robert Dan J. Roces said in a Viber message.
Broken down, the value of transactions done via PESONet rose by 23.1% to P7.08 trillion in the January-to-November period from P5.75 trillion a year ago.
The volume of transactions coursed through the gateway stood at 83.3 million in the period, rising by 8% from 77.1 million the prior year.
Meanwhile, the value of transactions done through InstaPay grew by 41.9% year on year to P4.47 trillion in the first 11 months of 2023 from P3.15 trillion in the same period last year.
The volume of InstaPay transactions also surged by 50.6% year on year to 741.6 million from 492.5 million previously.
PESONet and InstaPay are automated clearing houses under the central bank’s National Retail Payment System, which was launched in December 2015 to promote a safe, efficient, affordable, inclusive and reliable retail payments system.
PESONet caters to high-value transactions and is considered as an electronic alternative to paper-based checks.
On the other hand, InstaPay is a real-time electronic fund transfer facility for low-value transactions of up to P50,000.
“With the holiday season, increased gift-giving, early shopping, and bill payments, online fund transfers are poised to experience further growth,” Mr. Roces said.
“InstaPay and PESONet’s role in making money transfers more convenient and accessible is helping foster financial inclusion and boosting economic activity,” he added.
The BSP has encouraged the public to consider using digital means in sending cash gifts during the holiday season as this is “a safer and more convenient way of gift-giving for both the givers and the recipients.”
“There are 324 million e-money accounts in the Philippines as of end-September 2023. These accounts may be conveniently used for paying digitally for goods and services as well as for monetary gifts,” the central bank earlier said.
The increase in PESONet and InstaPay transactions is expected to help the BSP achieve its twin goals to have 50% of retail payments done digitally and 70% of adult Filipinos as part of the formal financial system by the end of this year. — Keisha B. Ta-asan