Camarines Sur 5th District Representative Migz Villafuerte urged Congress on Sunday, January 11, to pass a law mandating the use of digital payments in most official transactions, citing the rapid growth of electronic fund transfers (EFTs) in the Philippines.
“The sustained dramatic growth in both volume and value of EFTs cleared through Instapay and PESONet underline the deepening public trust and confidence in digital platforms,” Villafuerte said.
Villafuerte said the government can encourage more Filipinos to embrace fintech through mandatory online payments for official dealings, including tax collection, fees, and public fund disbursements.
“And the government can persuade more Filipinos to embrace fintech (financial technology) via the mandatory payment online of most official transactions such as the collection of taxes, payment of fees and disbursements of public funds,” he added.
The lawmaker noted projections from Google’s 2023 e-Conomy Southeast Asia Report, which estimated the country’s e-commerce could reach $35 billion by 2025 and $60 billion by 2030. Digital payments are forecast to grow from $126 billion in 2025 to $220 billion in 2030.
Villafuerte earlier filed the proposed “Promotion of Digital Payments Act” (House Bill No. 3646), which would make digital payments mandatory for tax collection, fees, tolls, government purchases, and disbursements.
The bill also directs local government units (LGUs) to require merchants to establish accessible digital payment systems as a prerequisite for business permit approval or renewal.
The measure includes support for small and micro-merchants, such as market vendors, tricycle operators, and food stalls, ensuring they have access to digital payment platforms.
It also envisions capacity-building programs by the Bangko Sentral ng Pilipinas (BSP) and relevant government agencies, as well as incentives for merchants who adopt efficient digital payment systems.