Seems to still be running behind countries around us, the Philippines has yet to reach 20% share of digital transactions that are inclusive, on-ground, scale-able, and sustainable.
This is due to limited access to banks and financial institutions as well as because of geographically separated, and low-income provinces, as well as grave absence of shift to financial access in the last two years – access to which the capital has been enjoying.
This is where technology serves as a powerful enabler. Enabled by mobile and digital technologies, Filipinos themselves can serve as pioneers and champions of financial inclusion.
Why is it important?
Financial inclusion is a state wherein there is an effective access to a wide range of financial products and services by all. Whereas the 70% of last year’s domestic deposit and loan volume did not move to financial institutions but maintained under their mattresses, cans hidden in the shelves, or tucked away underground.
This is where financial technology comes in.
But digital financial capabilities must be adopted by all for it to be successful.
Imagine, the humble magtataho, the balot seller, and the manong sorbetero, all with an enabling technology that turn digital trails into financial transactions for borrowers, lenders, using the Filipino concept of ‘tingi’ or, roughly, retail. This empowers the sari-sari store to address financial inclusion problems by allowing each, using only their mobile phones, to apply for a loan, open a micro savings account, buy an insurance product, star a micro investment, send money, and pay bills.
“KasamaKa is true financial inclusion at work that will not only help push for a more inclusive growth in the economy, but will also help realize the digital transformation of various sectors of society. This has been our vision at Voyager from the start – to help bridge the digital and financial divide in the country, which will help in creating ‘one happy planet’,” said Orlando B. Vea, President and CEO of Voyager Innovations.
Aside from the access to additional income, KasamaKa will also launch a nationwide caravan that will help teach financial literacy to Filipinos within their respective communities.
The event also saw the launch of “Race to 20 by 2020” campaign by multi-sectoral stakeholders to help in accelerating digital financial transactions to 20% by 2020 or in three year’s time.
To become a KasamaKa builder, you may register via www.KasamaKa.com or text KKK to 292901555 to receive a unique builder ID – which you can then send to friends, family, or suki who would like to avail of financial services mentioned earlier.
What do you think of the KasamaKa initiative? Let us know at the comments section or via Twitter @MNLMash.