In a statement, the Bangko Sentral ng Pilipinas said the new regulatory standards for Merchant Payment Acceptance Activities mandates operators of payment systems (OPS) to adhere to stricter governance and risk management measures, aimed at protecting both merchants and end-users.
The central bank also put in place minimum capitalization requirements, saying payment operators that transfer to merchants less than P100 million a month must be capitalized at P5 million, while those dealing with P100 million or more must have a minimum capitalization of P10 million.
Merchant Payment Acceptance Activities cover services enabling merchants to receive payments for goods and services, including processing, securing, and transmitting payment information.
With merchant payments constituting 64.9% of digital transactions in 2023, the BSP’s initiative seeks to mitigate risks related to settlement, operations, IT, and anti-money laundering, the regulator said.
Under the new circular, OPS involved in merchant acquisition must obtain a BSP license, while those providing other MPAA services must register in line with existing regulations.
Non-compliance could lead to enforcement actions under the National Payment Systems Act and the New Central Bank Act.
The BSP’s Payments Supervision and Licensing Department will oversee the application processes and ensure ongoing compliance.
The BSP said the new rules are a manifestation of its commitment to collaborating with the payments industry to maintain a secure, efficient, and reliable payment system in the Philippines.
