THE volume of digital payments already reached 64.7 percent of retail transactions in 2025, surpassing the targets set under the government’s economic blueprint, according to the Bangko Sentral ng Pilipinas (BSP).
At the Development Budget Coordination Committee (DBCC) briefing before the House Committee on Appropriations last Monday, BSP Deputy Governor for Monetary and Economics Sector Zeno Ronald R. Abenoja said the central bank has observed that more Filipinos continue to participate in the formal financial system.
According to Abenoja, central bank data shows increasing use of payments through InstaPay, PESONet, and person-to-merchant QRPh. He said the increased use highlights the ‘continued momentum’ on the adoption of electronic payments channels in the country.
Equally important, Abenoja said, is that the growing adoption of digital payments generates what the BSP called ‘network externalities.’ He explained the latter means that the value and convenience of domestic electronic payment channels increase as more consumers, more merchants, and more financial institutions participate in the financial ecosystem.
The chart presented by Abenoja during the briefing showed that the share of digital payments to total retail payments by volume grew from 20.1 percent in 2020 to 30.3 percent in 2021, 42.1 percent in 2022, 52.8 percent in 2023, 57.4 percent in 2024 and 64.7 percent in 2025.
Under the Philippine Development Plan (PDP) 2023-2028, the government set the following targets for the share of volume of digital payments to total retail transactions: 50 percent for 2023; 52 to 54 percent for 2024; 54 to 58 percent for 2025; 56 to 62 percent for 2026; 58 to 66 percent for 2027; and 60 to 70 percent for 2028.
A separate statement issued by the central bank Monday afternoon quoted BSP Governor Eli M. Remolona Jr. as saying that ‘a lot of the growth is due to our insistence on interoperability, ensuring that a growing number of businesses and service providers are on one system.’
‘That brings in more users, which makes the network more valuable for everyone in it, including consumers, businesses, banks, e-wallets, and other platforms,’ Remolona added.
Data from the BSP’s ‘2025 Report on the Status of Digital Payment in the Philippines’ showed that the continued growth of digital payments in the country was supported by a 69.4-percent increase in digital payment accounts and a 36.3-percent rise in merchant locations or business outlets that accept digital payments.
Likewise, the central bank said that QR Ph transactions exceeded debit and credit card transactions for the first time in 2025, ‘reflecting a growing preference for interoperable, account-based payments.’
A total of 2.47 billion QR Ph transactions worth P1.16 trillion were processed during the year, the BSP statement read.
The BSP added that PESONet transactions have surpassed check payments, reflecting the ‘growing use’ of electronic fund transfers for business and personal transactions.
‘The BSP expects the momentum for digital payments to continue, aided by policies meant to make electronic payments more accessible and affordable,’ read the central bank’s statement.
One of these policies is embodied in BSP Circular 1238. The latter pushes for reasonable transfer fees, requiring that fees charged for transferring funds from one bank or e-wallet provider to a different financial institution ‘should not be materially different’ from the fees charged for transfers within the same institution.
Remolona said the BSP continues to work closely with industry and government partners to expand digital payments ‘to benefit more Filipinos and the economy as a whole.