Landbank said the opening of bank accounts for registrants will aid in the efficient delivery of government assistance programs to unbanked beneficiaries.
ONE positive effect of the government’s national identification program: more and more Filipinos now have their own bank accounts.
In a report to the Department of Finance (DOF), the Land Bank of the Philippines reported that 4.47 million people managed to be included in the formal banking system as of the first semester, thanks to the government’s Philippine Identification System (PhilSys).
Of this number, 27 percent or 1.23 million were able to access online digital payments and other transactions, mostly in the Visayas and Central Luzon.
This was possible as more Filipinos registered for the national ID system, allowing the government to be on track with its 2020 target of registering 70 million of the population.
Every time an individual registers for step two of the national ID, a person can automatically open a bank account on the spot as Landbank desks are available at all sites.
Landbank cards are provided free of charge and with no initial deposit requirement.
National ID holders can use these cards to withdraw cash, shop online and perform other cashless transactions, as well as receive any government subsidy digitally.
It is also contactless-enabled and can be used for tap payments that the government plans to roll out for public utility vehicles.
Landbank said the opening of bank accounts for registrants will aid in the efficient delivery of government assistance programs to unbanked beneficiaries.
To date, over 40 million Filipinos have completed the first step of registration for the national ID system.
Of this, 20 million have advanced to the second step to capture their biometric information at designated registration centers.
For the third and final step, some 3.04 million physical cards have been printed, 1.05 million of which have already been delivered nationwide.
Signed into law by President Rodrigo Duterte in August 2018, Republic Act 11055, or the Philippine Identification System Act, aims to establish a single national ID for all Filipinos and resident aliens.
The national ID shall be a valid proof of identity that shall be a means of simplifying public and private transactions, enrollment in schools, and opening of bank accounts.
It is also expected to boost efficiency, especially in dealing with government services where people will only need to present one ID during transactions.
Tags: #PhilSys, #NationalIDSystem, #Landbank, #financialinclusion