Rural banks in the Philippines have been urged to use technology to bring more people into the financial system, particularly those in remote areas. The Philippine Daily Inquirer & other Pilipinas Governor Nestor Espenilla said only 34.5% of the country’s population had a formal account and that it was “crucial” for banks to use innovative technology. Rural banks make up 1.6% of total banking assets in the country but their office network meant they were “strategically positioned” to be a catalyst for greater inclusion, said Espenilla. He added that rural banks could be a “strong and dependable delivery channel” to transform financial services.
Rural banks in the Philippines have been urged to use technology to bring more people into the financial system, particularly those in remote areas. Bangko Sentral ng Pilipinas Governor Nestor Espenilla said only 34.5% of the country’s population had a formal account and that it was “crucial” for banks to use innovative technology. Rural banks make up 1.6% of total banking assets in the country but their office network meant they were “strategically positioned” to be a catalyst for greater inclusion, said Espenilla. He added that rural banks could be a “strong and dependable delivery channel” to transform financial services.