Introduce cashless payments to grassroots economy, LGUs urged

MANILA  -An advocacy group championing consumer rights has called on local governments to encourage their constituents in the grassroots to shift to cashless transactions, saying the benefits of digital technology must be felt by all.

“The use of technology should be extended to market vendors, community shopkeepers, tricycle operators and drivers, farmers and small merchants,” said lawyer Christopher “Kit” Belmonte, co-convenor of CitizenWatch Philippines.

“Convenience is just one thing… The adoption of cashless payments like GCash would open up to other financial services like loans, savings, investments, and others.”

According to Belmonte, there is a significant amount of economic activity going on in markets, in public transportation, and in the fields.

“These are still mostly cash-based, but we believe they will shift to cashless once they see the benefits and, more importantly, once they are shown how,” he said.

Paleng-QR Ph

Belmonte is urging local executives to work with the Bangko Sentral and the Department of the Interior and Local Government as they roll out Paleng-QR Ph Plus, which aims to promote cashless payments in public markets and public transportation  across the country.

Paleng-QR was inspired by student policy competition finalists from the University of the Philippines-Los Baños in 2021.

The program targets to introduce change in markets and public transport, because these are basic components of an average Filipino’s typical payment pattern, said the Bangko Sentral on its web site.

“Until a market vendor and a tricycle driver can accept digital payments, transitioning to cashless transactions would be difficult for an average Filipino consumer,” the BSP added.

“Some stores are already using QR codes to facilitate cashless purchases. They can scan it with their smartphones and confirm payments in seconds…,” Belmonte said.

“Also, important for both seller and buyer is the digital record of the transaction,”

It’s also safe, he added. “No more risks of cash being taken by thieves.”

“The pandemic-induced lockdowns introduced millions of Filipinos to the benefits of cashless payments,” said Belmonte. “Consumers learned to trust cashless transactions even after their initial hesitation. Eventually, many of us now prefer going cashless in our daily purchases.”

“Digital payment platforms are an indispensable tool of the digital economy, and we want all Filipinos to participate in this thriving, promising economy.”

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