The Bangko Sentral ng Pilipinas on Monday reported a double-digit increase in the number of basic deposit accounts in the fourth quarter of 2021 from a year ago, a sign of intensifying financial inclusion in the country.
It said in a statement the latest data showed a 19-percent increase in the number of basic deposit accounts from 6.6 million in the fourth quarter of 2020 to 7.9 million in the fourth quarter of 2021.
Data showed that as of end-December 2021, the total value of BDA deposits reached P5.1 billion, a 7.6-percent increase from the P4.7 billion registered a year earlier.
The BDA was created to meet the needs of the unbanked and low-income sector and foster greater financial inclusion. There are 138 banks offering basic deposit accounts.
The BDA, introduced in 2018, is a deposit product that has a low account opening balance requirement of P100 or less, no maintaining balance, no dormancy charges and simple identification requirements.
Banks can customize the BDA products by utilizing technological innovations to on-board and service clients.
The BSP said it continues to promote basic deposit accounts through enabling policy issuances. It said that on November 2021, it issued regulatory relief measures to encourage more banks to offer BDAs.
The BSP, in January 2022, issued frequently asked questions to provide additional guidance and clarifications on the regulatory framework for BDAs.
Julito G. Rada
It said that as ownership of an account is an important first step to perform digital payments, BDAs support BSP’s mutually reinforcing goals of financial inclusion and payments digitalization.