Camarines sur: Camarines Sur 5th District Representative Miguel Luis Villafuerte is advocating for the swift passage of House Bill No. 3646, known as the Promotion of Digital Payments Act. This bill aims to institutionalize and expedite the adoption of secure, interoperable digital payments, addressing challenges faced by the Marcos administration in its digital transformation agenda.
According to Philippines News Agency, Rep. Villafuerte highlighted several obstacles hindering the rapid shift to digital payments. These include limited access to reliable digital infrastructure, slow internet connectivity in remote locations, high payment fees, and restricted acceptance of digital platforms. In response, HB 3646, which was filed on August 13, mandates the use of digital platforms for various government transactions such as taxes, fees, tolls, purchases, and public disbursements, including account-based direct credits to recipients.
The bill also requires the Bangko Sentral ng Pilipinas (BSP) to expedite the adoption of a national quick response (QR) code standard to enable fully interoperable payments. It further compels local government units to pass ordinances requiring merchants to implement functional digital payment systems, while also assisting micro- and small-enterprises in adopting them.
The proposed legislation authorizes government agencies to establish technical support units, incentive frameworks, and compliance funds. It empowers the BSP, the Department of Trade and Industry (DTI), the Department of the Interior and Local Government (DILG), and the Department of Information and Communications Technology (DICT) to execute capacity-building programs. Additionally, it directs the Department of Science and Technology (DOST) and the DICT to enhance access to affordable digital infrastructure.
Villafuerte, who chairs the House Committee on Information and Communications Technology, noted that the BSP had already surpassed its digital-payments goal, with digital retail transactions reaching 52.8 percent in 2023 and projected to rise to 57.4 percent in 2024. Merchant payments represent the largest share, followed by person-to-person transfers and business-to-business transactions. Despite these advancements, he emphasized that challenges persist across the nation, particularly in remote areas.
House Bill 3646 builds on the framework of Republic Act 11127, or the National Payment Systems Act, which grants the BSP authority to regulate payment systems. It also aligns with Republic Act 11032, or the Ease of Doing Business and Efficient Government Service Delivery Act of 2018, by streamlining services through digitization.
Villafuerte concluded that this shift will enhance fiscal transparency, reduce transaction costs, broaden financial inclusion, strengthen the digital economy, and ensure that innovation benefits both the economy and the daily needs of Filipino citizens.
