Credit has the ability to build a modern economy, but lack of credit has the ability to destroy it, swiftly and absolutely.
– Too Big to Fail
It is no longer the wave of the future; it is the raging current of the day.
And everyone must ride the crest or be swept under the foamy brine.
Business and industry have really no choice but to embrace it or perish the thought of surviving, much less prevailing, in today’s ruthlessly competitive 24/7 economy.
And financial enforcers are, quite fortunately, committed in supporting "beneficial" financial technology innovations by creating an enabling policy and regulatory environment for promoting financial innovation and inclusion.
In his speech during the forum "Finovation 2019: Real Problems, Real Solution" recently, Bangko Sentral Gov. Benjamin E. Diokno said the main challenge for th BSP is "to strike a balance between promoting and enabling a policy and regulatory environment for emerging financial innovations and ensuring consumer protection, security, and financial stability".
"We aim to establish a forward-looking approach to ensure that regulatory and supervisory frameworks are in tune with emerging trends and developments," he noted.
The top monetary official stressed the BSP recognizes the significant role that fin-tech plays in driving the transformation of the traditional processes in the financial system through technology-driven innovations to address financial inclusion barriers.
"We aim to develop a digital finance ecosystem that supports the diverse needs of all users in a manner that is secure, sustainable, convenient, and affordable," he added.
To support this goal, Diokno said the BSP established the National Retail Payment System, the BSP’s flagship program for digital finance.
Through the NRPS, regulated institutions are required to adopt transparent and fair market pricing of electronic payments, transition from exclusive bilateral to multi-party clearinghouse agreements, and provide electronic fund transfer facilities in all available channels, among others.
"The BSP has identified the responsible promotion of fin-tech as a priority agenda, thus, the establishment of a fin-tech roadmap covering collaborative engagements, commensurate regulations and capacity building," he said.
"By collaborative engagements, we mean maintenance of active multi-stakeholder collaboration. This is necessary in view of the multiplicity of players and multi-layered relationships among fintechs innovators and varied incumbent financial sector players. It represents a 'whole-of-government approach', ensuring policy consistency and preventing regulatory arbitrage," he said.
Meanwhile, closer teamwork between the public and private sectors is required for the country to further enhance its fin-tech readiness.
Lisette Cipriano, senior digital technology specialist of the Asian Development Bank, stressed this in a briefing with journalists at the sidelines of the 3rd Asia Finance Forum hosted by the Manila-based lender from November 4 to 7.
Cipriano noted that there is “still a lot of improvement for the Philippine market” in terms of informing the people about fin-tech and in crafting policies on this, among others.
“That’s why, the BSP is really gung ho on providing the right environment for the industry,” she added.
Enhancing the country\s fin-tech policies and readiness, Cipriano said is “no mean feat” for the BSP given the archipelagic landscape of the country, which makes works harder and costly.
“So, private sector and public sector collaboration is a key to success, and we know that everyone needs to be in this together,” she said.
BSP Center for Learning and Inclusion Advocacy Managing Director Pia Roman-Tayag told delegates that monetary officials are currently studying ways on how to address what they call disruptive technology.
This, as more banks improve their system to adapt to technological advances vis-à-vis the changing financial market landscape.
Roman-Tayag said traditional banks decided to have digital presence in the country to keep up with innovations.
“But the purely digital (banks), there are also some in the pipeline but regulations are still currently using the traditional models so definitely we are looking at how regulations need to be adjusted in terms of capital requirements and what we will look for in terms of tech capabilities. But even without that framework, we are already engaging these digital-only banks that want to have presence in the Philippines,” she added.
A fin-tech trailblazer, meanwhile, continues to raise the bar for both startups and emerging players in the field.
But more than lighting the path for start-up and fin-tech success, top Acudeeen officials are generous in sharing surefire strategies to attain growth and keep ahead of the pack.
With one month left in the year, home-grown but regionally expanding Acudeen Technolgies Inc. continues to work hard to give you quality service for everyone!
This month the company continued its growth with the Fintech Alliance and ICD's Compliance and Corporate Governance session. At the same time, Acudeen took part in 2019 Techtonic Summit: Festival of Innovation and STARTUP PH Women's Initiative: Enabling Empowered Women through its beloved representatives. Finally, we are proud to share our recognition as the Best Digital MSME at the ASEAN Business Awards!
The Fintech Alliance and ICD conducted a Compliance and Corporate Governance session last November 4. Acudeen chief executive officer Magellan Fetalino and some of our key members took part in the session and absorbed new knowledge on corporate governance and compliance. Some great insights were provided by the likes of Dean Cesar Villanueva during the event.
Acudeen was just recently recognized as the ASEAN Business Awards Best Digital MSME for Southeast Asia! In the Finals Night conducted in Bangkok, Thailand last November 2,
It bested 11 other countries to take the crown as the sole representative of the Philippines.
Fetalino tackled how to overcome and face the struggle of being a startup company at the Techtonic Summit 2019 held last November 14-15 at the SMX Convention Center, SM Aura Taguig City.
Techtonic Summit aimed to inspire innovation and build a community across the region through an annual event showcasing a multitude of groundbreaking technologies from various industries and sectors.
Acudeen's deputy managing director, Veronica Aquino, speaking during at the SHeroes Event, last November 20,said a startup should always go back to the heart of what they’re doing, the challenges that they want to solve, in order to clearly see what lies ahead for them.
Behold God’s glory and seek His mercy.
Pause and pray, people.