Category: Business Mirror

EXECUTIVES of Visa Inc. and USSC Money Services Inc. (UMSI) launched last Tuesdaya payment solution they said would enable micro-sized, small-scale, and medium-sized enterprises (MSMEs) in the Philippines to turn smartphones into payment acceptance devices, removing the need for traditional point-of-sale terminals.

Explaining the concept of accepting payments through smartphones instead of POS terminals, UMSI Chief Marketing Officer J. Richard Soriano said that ‘as you can see in a restaurant, the business model for most of those business terminals, you also have to pay a rental fee for those devices; plus, of course, the compliance requirements. This one [the solution called ‘U Accept’], it’s really, you already spent on a phone.’

‘I just have to put an app there and suddenly with a tap of the card, you can accept the payment. So, again, it’s not for everyone. It’s really just for business owners,’ Soriano told reporters on the sidelines of the launch.

According to him, ‘U Accept’ is integrated in UMSI’s digital platform for entrepreneurs and small businesses called ‘uGrow.’

A statement provided by the company read that the solution helps remove barriers to digital acceptance and helps MSMEs participate ‘more fully’ in the digital economy.

Visa Philippines Country Manager Jeffrey Navarro explained, however, that the solution is not designed to compete with POS. Instead, this payment solution intends to onboard businesses into digital transactions, Navarro said.

‘What we’re looking for is a graduation model, meaning this is the basic-it gets you into digital transactions,’ he told reporters.

‘You would see that there there is a cap. So, once demand has been developed, and you always reach that cap, then probably the next proposition for you is, we graduate towards the SMB program, which can qualify now for a POS device. So, what we’re trying to do is, get you started first,’ Navarro added. ‘When you graduate, it means business is doing great for you.’

For a smartphone to be ‘eligible’ or to start accepting contactless card payments, Visa Head of Product Michelle F. Mascariñas explained that the smartphone needs to be NFC-enabled.

‘It works on Android and iOS devices as well. So those are the basics which I think almost everyone, even in this room, have,’ added Mascariñas.

According to Visa, MSME owners can activate ‘U Accept’ within the ‘uGrow’ app to accept contactless payments including cards and pay-by-link, making digital acceptance ‘more accessible and inclusive’ without the need to invest in additional proprietary hardware.

As a customer-centric innovation, the solution was designed around the realities of running a small business, read documents provided by Visa executives. Business owners and customers can use the solution to transact with confidence and ease with the security, reliability, and dispute protections expected from Visa card payments, the document read.

With U Accept, MSME users can also send digital receipts to buyers via email and check transaction history, which ‘complements’ the uGrow app’s other features, such as sales monitoring and inventory management, according to Visa executives.

PH1 World Developers topped-off of Tower 1 of Avesta Residences on August 4, 2026, located in the City of Imus, Cavite-marking a significant construction milestone for its pioneering development under the expanded Pambansang Pabahay Para sa Pilipino (4PH) program. The ceremony commemorated the completion of the structural framework for the first building of the project’s multi-tower development.

‘For both PH1 World Developers and Megawide Construction, the topping off after less than 10 months from the start of construction conveys a clear message-we can deliver using our engineering expertise and pre-cast technology. We have a long way to go but it is always good to start on the right footing,’ said Edgar Saavedra, Chairman and CEO of Megawide.

Avesta Residences serves as PH1 World Developers’ first project under the government’s Expanded 4PH Program-the national housing initiative aimed at addressing the country’s housing backlog through collaborative efforts between the public and private sectors.

The milestone follows the successful Mega-Unit Draw conducted for Tower 1 beneficiaries held at the New Imus City Hall in December 2025 and reflects the project’s continued progress from planning to on-site construction, bringing future homeowners one step closer to homeownership.

‘Our projects would not have come to fruition without the support and collaboration from our valued stakeholders and government partners. We warmly welcome these types of private and public cooperation as we push forward for more 4PH developments from PH1 and Megawide Construction,’ said Gigi Alcantara, President of PH1 World Developers.

Following the launch of Avesta Residences, PH1 World Developers expanded its participation in the program through additional developments in Dasmariñas and Bacoor in Cavite, as well as in Caloocan, further augmenting the government’s efforts to increase the supply of quality, affordable, and accessible housing across the country. More than just buidling homes, PH1 World Developers ensures Filipinos experience First-World Living in the Philippines.

OF all the tasks financial executives could hand over to automation, checking business documents and compliance requirements came out on top, scoring 4.4 out of 5, according to an internal industry poll by IDfy Technologies (Philippines) Inc. and Mastercard Inc.

During ‘The Anatomy of Merchant Trust’ roundtable in Manila, executives from the banking, fintech and payments sectors discussed how financial institutions can make it easier to verify and onboard micro-sized, small-scale and medium-sized enterprises (MSMEs).

The focus on document checks reflects a broader challenge facing financial institutions as they try to bring more businesses into the digital economy while keeping fraud and compliance risks in check, executives said.

According to those who participated in the poll, traditional merchant verification remains fragmented, often relying on paper-based checks and physical audits that can slow down onboarding and make it harder for institutions to assess smaller businesses with limited credit histories.

For IDfy, this condition can lead to broad risk policies that exclude legitimate merchants from formal financial services.

‘Because traditional merchant identity verification remains fragmented and unverified at the micro-level, it trickles down to ecosystem-wide trust issues that compel institutions to enforce rigid, blanket risk policies,’ the company said.

The poll revealed that participants see automating document verification and compliance checks could allow banks and fintech firms to assess businesses more quickly while applying risk controls based on individual merchant profiles.

The issue extends beyond getting a business through the door. As digital payments expand, financial institutions also face threats such as forged documents, deepfakes and fraud committed after a merchant has already been approved.

This has increased the need for continuous monitoring rather than relying solely on checks conducted during onboarding.

‘Merchant trust is no longer a one-time verification exercise-it is a continuous lifecycle,’ IDfy Philippines Country Head Raghuraman Chandrashekhar said.

Chandrashekhar said financial institutions need to move away from fragmented onboarding processes and combine identity verification with alternative data and real-time monitoring as digital payments grow.

‘The future of financial inclusion depends on enabling MSMEs to be onboarded quickly and safely at scale,’ he added.

The need for better verification also ties into the financing gap faced by smaller businesses, many of which lack conventional credit records.

Financial institutions are increasingly looking at alternative information, including digital payment records, utility payments and transaction histories, to assess the creditworthiness of merchants.

These records can also be used in lending models that increase credit limits as businesses build a stronger transaction history.

The industry estimates that such approaches could help expand formal financing to more than one million underserved merchants nationwide.

Moreover, digital payments have continued to gain ground in the Philippines, with Bangko Sentral ng Pilipinas data showing that digital payment channels such as QR Ph have surpassed 57 percent adoption.

Mastercard Philippines Country Manager Jason Crasto said merchant trust would require closer coordination among banks, payment providers, fintech companies and technology firms as more businesses move into digital transactions.

‘As more businesses participate in the digital economy, the industry needs to strengthen collaboration across banks, payment providers, fintechs, and technology stakeholders,’ Crasto said.

‘Each stakeholder brings unique capabilities, perspectives, and expertise to the table. Through stronger public-private collaboration, shared intelligence, and advanced risk solutions, we can build a more secure, scalable, and inclusive digital ecosystem that empowers Philippine MSMEs to grow with confidence,’ he added.

BASICALLY, the simplest way to explain financial equilibrium is to think of being able to match your cash outflows with you cash inflows.

As an example, if your only source of income is what your account gets credited for your salary and you are able to pay off all your expenses from that ac-count with practically nothing left behind for investments and other unplanned or unprogrammed expenses then you are in a state of financial equilibrium.

There are those that think that being in financial equilibrium is a good thing. After all, many people are in a negative cash flow position and end up having to borrow money and make use of their credit card just to make ends meet. I agree that drowning in debt is indeed worse than being in financial equilibrium, which brings me to the point that you really should not be happy being just in financial equilibrium. Being in financial equilibrium is being in the proverbial ‘isang kahig, isang tuka’ situation where you just make enough to live day to day.

You have to set your goals higher than just meeting your day to day expenses. If you cannot find a way to increase your income, then find a way to reduce your expense by prioritizing what you are spending on. Go through what your expenses are and focus on those that you can do without. Do you really need your daily Starbucks coffee before getting to the office or could you live off on hav-ing brewed coffee at home? Do you need to have a fine dining weekly date with your wife, or can you make to with a movie night?

It is imperative that you realize that you will have unavoidable expenses specially when you are starting off a family like having hospital expenses when you start getting children, tuition fees and other school expenses, and unforeseen expense from ageing parents, facing certain health issues, or a sudden setback in your career that puts your promotion on hold or worse losing your job. What do you do then? It is in your best interest to do something about it as early as possible, rather than wait for these things to overwhelm you.

Getting a higher paying job either through a promotion or moving into a new job is not as easy as it sounds. There are too many factors involved that are beyond your control or influence. Which makes cutting down on your expenses more doable. The whole point is to reduce your expenses to allow you to have a net savings. Once you have savings, a whole new world of opportunities opens up for you. Depending on how much you are able to save, the opportunities improve the bigger your savings are. As an example, bank time deposit rates becomes higher as the amounts gets bigger. A P10,000 time deposit will give you a lower interest rate than a P1-million time de-posit. Likewise, a P100-million time deposit will give you a higher interest rate than a P1-million time deposit.

Investment opportunities expand as your capital increases, such as fixed income bonds or listed equities. You could also look into investing in real estate to give you rental income and capital gain. You could also explore going into your own business or partner up with the right people. Financial equilibrium should only be your starting point where your ultimate goal is achieving financial freedom. How much is that? That is where sky is the limit.

The views and comments of Dr. George S. Chua are his own and not of the BusinessMirror or the Financial Executives Institute of the Philippines (Finex). The author was 2016 Finex president and a life member, 2010 to 2020 Federation of Philippine Industries president and an entrepreneur. Dr. Chua is a Fellow at the Institute of Corporate Directors and a Professorial Lecturer 2 at the University of the Philippines Diliman and BGC campuses. He is also vice-chairman of the Market Governance Board of the Philippine Dealing and Exchange Corp. Comments may be sent to georgech-uaph@yahoo.com or gschua@up.edu.ph.

Accounting firm PandA Grant Thornton (Punongbayan and Araullo) said it signed a memorandum of understanding (MOU) with the Philippine Economic Zone Authority (Peza) to strengthen knowledge-sharing initiatives and capability-building programs for Peza employees, registered business enterprises and members of the ecozone industry.

The partnership will focus on PandA Grant Thornton’s role as a knowledge partner of Peza, through the Peza Academy, on matters relating to accounting, audit, taxation, compliance, advisory and other business-relevant topics.

Backed by the accounting firm’s experience in helping businesses address regulatory and operational challenges, the collaboration aims to support Peza’s development programs and equip them with practical insights to strengthen standards compliance, business resilience and sustainable growth.

The agreement was signed by Romualdo V. Murcia III, chairman and managing partner of PandA Grant Thornton and Tereso O. Panga, Director General of Peza.

‘By sharing our experience and expertise, we hope to contribute to Peza’s continuous efforts to empower its registered enterprises, enhance their competitiveness, and create lasting value for the broader business community,’ Murcia said.

‘Beyond enhancing individual capabilities, this partnership contributes to PEZA’s broader mission of fostering a competitive and investment-friendly business environment. A well-equipped workforce and well-informed enterprises translate into better services, stronger governance, and greater confidence among investors-qualities that reinforce the Philippines’ position as a preferred investment destination,’ Panga said.

The accounting firm said it will deliver learning initiatives that translate technical knowledge into practical guidance for employees, supporting the shared goal of building more informed, prepared and resilient enterprises.

PRESIDENT Ferdinand Marcos Jr. said the government is bracing for extended ‘geopolitical tensions and economic challenges’ in its proposed P7.2-trillion 2027 national budget to allow the country to sustain its economic growth next year by prioritizing ‘investments in the Filipino people.’

The chief executive made the commitment in his 51-page President’s Budget Message with the 2027 National Expenditure Program, which was submitted by the Department of Budget and Management (DBM) to the House of Representatives on Tuesday.

‘Amid continuing global uncertainties-including geopolitical tensions, persistent inflationary pressures, and volatile energy prices-we remain steadfast in pursuing growth that is both resilient and fiscally responsible,’ Marcos said.

He said the budget will allow the government to meet its Philippine Development Plan (PDP) 2023-2028 and its long-term vision under Ambisyon Natin 2040, while reducing unnecessary expenditures and maintain its Upper Middle Income Status (UMIC) as it is faced with economic headwinds in the coming months.

‘This budget strengthens our capacity to invest in strategic infrastructure, human capital, food and energy security, and social protection, while reinforcing transparency, accountability, and the efficient use of public resources,’ he said.

‘Economic growth is meaningful only when it creates jobs, reduces poverty, strengthens the middle class, empowers local communities, and ignites renewed hope that tomorrow will be better than today,’ he added.

The President directed all agencies to focus on measurable outcomes, align proposals to the development agenda, and eliminate unnecessary or inefficient expenditures.

The 2027 NEP, he said, will contain provisions of the Unified Package for Livelihoods, Industry, Food, and Transport (UPLIFT) initiative, which aims to provide support to sectors affected by the Middle East crisis including fuel and rice subsidies as well as cash aid.

‘More than a short-term intervention, UPLIFT is a comprehensive whole-of-government framework that equips the country to respond proactively to global disruptions while supporting households, businesses, and key productive sectors,’ Marcos said.

‘Together with our broader fiscal reforms, it reinforces our strategy of stimulating economic activity through carefully calibrated public spending without compromising long-term fiscal sustainability,’ he added.

The war in the Middle East broke out after the United States and Israel attacked Iran last February disrupting global supply chains and triggering pump prices.

As of press time, the US and Iran have yet to come out with a deal to end hostilities in the Middle East.

The economic impact of the regional conflict was made worse by the slowdown in government spending on infrastructure projects after it launched a crackdown on anomalous flood control projects last year.

The Bangko Sentral ng Pilipinas said the ongoing El Niño, which is expected to last until the first quarter of 2027, can also cause food supply pressures.

Gross domestic product from January to March slowed down to 2.8 percent from 5.4 percent year-on-year, according to the Philippine Statistics Authority (PSA). Economic growth further weakened in the second quarter of the year to 2.3 percent.

Marcos urged Congress to pass the 2027 national budget with provisions consistent with the ‘people-centric’ goals of his administration.

‘Let us rise above differences and work together to ensure that every appropriation serves its intended purpose and every peso delivers real and lasting value,’ he said.

The enhanced southwest monsoon, or ‘habagat,’ continues to bring heavy rains and widespread disruption across Luzon, leaving communities flooded, families struggling to rebuild and responders racing against time in search-and-retrieval operations.

Floodwaters reach the Sto. Niño Parish Church in San Fernando, Pampanga, on Monday, August 10, as rains continue in the area. Churchgoer Efren Cruz said the area has endured 18 consecutive days of rain.

In Talon Tres, Las Piñas, residents living beside a creek begin rebuilding after floodwaters destroyed most of their belongings.

They recalled fleeing their homes as the waters rapidly rose, taking only their loved ones to safety, and are now seeking assistance from the local government.

In Guisad Surong, Baguio City, response teams continue search, rescue and retrieval operations following a landslide.

An Incident Command Post has been established at the site, while volunteer groups provide support to responders.

Baguio City Mayor Benjamin Magalong said 13 people were involved in the incident, with six still missing. Seven have been recovered-three alive and four dead.

PHOTOS BY NONOY LACZA (Pampanga), NONIE REYES (Las Piñas) and MAU VICTA (Baguio)

Aboitiz Power Corp.-backed mobility startup Voltai plans to expand its motorcycle battery-swapping network to approximately 1,000 stations over the medium-term, starting 2027.

Following the launch of 15 stations at Cleanfuel sites, the company is prioritizing the saturation of the National Capital Region (NCR) market before expanding north and south. Currently, Voltai already has the largest 2W electric vehicle (EV) swap network in the Philippines.

‘Our current network density is already sufficient to cover our targets for the next year or so. We’ll probably see more network expansion by next year,’ said Voltai co-founder and chief product officer Nico Policarpio. ‘Our current priority is first to saturate Metro Manila and then go up to the north and south of it.’

The company has successfully tested its EV ecosystem through pilot runs with providers like JRS Express and Xpress, leading to ongoing commercial agreements.

‘Most of our initial pilot partners are continuing into commercial agreements with us, and that’s a great boost of confidence and a testimonial that the ecosystem, the product, and the technology works and can do so on a greater scale,’ Policarpio said.

The Voltai ecosystem offers two-wheel EVs, battery-swapping stations, fleet software, rider apps, and full after-sales support. This is all on a lease basis for a fixed fee, removing upfront vehicles spare parts, and repair costs. Fleet operators have achieved 20 percent to 60 percent in operational savings during pilots.

Maximizing its two battery capacities, a two-watt Voltai motorcycle can travel up to 140 kilometers, with a maximum speed of around 80 kilometers per hour and a carrying capacity of 200 kilograms.

‘At any given time, the platform shows where the motorcycles are in real time, the trips they’ve been on, how far they’ve gone, where they went, and how much tailpipe emissions were avoided,’ added Policarpio.

Plans are also underway to expand in Cebu and Davao.

Voltai is under 1882 Ventures, the startup and innovation arm of AboitizPower.

The Aboitiz energy unit recently reported that its net income rose by 45 percent year-on-year to P18.4 billion in the first half, driven by higher generation margins and capacity expansion.

While earnings before interest, taxes, depreciation, and amortization (EBITDA) for generation and retail supply rose 29 percent, distribution business EBITDA declined 3 percent due to higher expansion expenses.

AboitizPower said overall financial performance was buoyed by increased energy sales and contributions from new solar and hydro assets.

More than 20,000 housing loan borrowers of the National Home Mortgage Finance Corporation (NHMFC) will benefit from a one-month moratorium on the payment of their monthly amortizations effective August 5, 2026 to September 4, 2026, following the continuous heavy rainfall brought by Tropical Storm Maymay and the enhanced Southwest Monsoon.

The moratorium forms part of NHMFC’s continuing efforts to provide immediate financial relief to borrowers affected by calamities and severe weather conditions in the provinces of Benguet, La Union, Pangasinan, Bataan, Bulacan, Pampanga, Tarlac, Zambales, Batangas, Cavite, Rizal, Occidental Mindoro and Oriental Mindoro

NHMFC President Renato L. Tobias emphasized that the measure is intended to give affected families temporary financial breathing room as they recover and address their immediate needs.

‘Through this moratorium, NHMFC is providing our affected borrowers with immediate financial relief while assuring them that we remain ready to support them as they rebuild and recover,’ President Tobias said.

Under the moratorium, payment of monthly amortizations will be deferred for one month, with no penalties or surcharges imposed on the deferred amortization during the period.

Borrowers covered by the moratorium who still wish to continue their monthly payment may do so voluntarily. For borrowers whose accounts are updated, any payment made during the moratorium period shall be considered as advance payments.

Through these relief measures, NHMFC continues to uphold its commitment to responsive public service and to supporting Filipino homeowners during times of calamity and financial difficulty.

The Department of Labor and Employment (Dole) revoked the Alien Employment Permits (AEP) of six Chinese nationals who work at the raided Chuangxing Steel Incorporated plant in Magalang, Pampanga.

Their records were endorsed to the Bureau of Immigration after authorities found that foreign workers had allegedly been brought directly from mainland China without the required employment documents and permits.

Chuangxing Steel was raided by the National Bureau of Investigation and the Presidential Anti-Organized Crime Commission in July over the alleged possession and use of radioactive-bearing industrial materials and the production of substandard steel products.

Authorities earlier reported seizing more than P3 billion worth of radioactive-bearing raw materials, substandard steel products and contaminated production equipment from the plant, while hundreds of workers were removed from allegedly hazardous working conditions.

Apart from the issue on employment of foreign workers, labor authorities flagged serious health and safety risks arising from the potential presence of radioactive materials inside the facility.

An investigation also found that the company failed to present basic employment records and allegedly did not properly pay overtime and holiday wages.

Workers were also found without mandatory Social Security System, PhilHealth and Pag-IBIG coverage.

Chuangxing Steel also failed to present a workplace sexual harassment policy and establish a Committee on Decorum and Investigation.

Labor Secretary Francis N. Tolentino directed Bantayan Manpower Services to cooperate with DOLE Regional Office 3 in resolving deficiencies involving wages and mandatory employee benefits.

Meanwhile, the work stoppage order issued against the Magalang facility on July 25 remains in effect.

‘This hearing should also bring changes to the mechanism and process for protecting Filipino workers,’ Tolentino said.