Citi pushes digital payments as Philippine firms move beyond cash

Insider Spotlight

• Citi Philippines highlighted digital payments as a safer, more transparent, and efficient alternative to cash and checks for businesses
• BSP and BIR outlined new initiatives and regulations aimed at accelerating digital payment adoption and digital tax compliance
• Corporate leaders from Philippine Seven and Monde Nissin discussed how collaboration between regulators and businesses is supporting a cash-lite economy
  
  

Despite the growth of digital finance, many businesses in the Philippines continue to rely on cash and checks for supplier payments, transactions, and daily operations, creating inefficiencies, cash flow delays, and higher operational risks.

To help accelerate the shift to digital payments, Citi Philippines recently gathered business leaders, regulators, and corporate executives at Shangri-La The Fort for its "Driving Momentum in Digital Payments Transformation" forum, highlighting the role of digital payments in improving business efficiency and strengthening financial governance.

The big picture

Citi Philippines CEO Paul Favila said businesses stand to benefit from adopting digital payment systems through improved security, transparency, and operational efficiency.

“Digital payments are inherently safer, with transactions that are more secure, transparent, and traceable. They drive efficiency by automating processes, reducing manual effort, and minimizing risk, while providing clear visibility into cash flow and helping businesses lower costs, while also strengthening governance and control,” Favila said in a statement.

He added that digital payments also create opportunities for innovation, financial inclusion, and long-term business growth.

Why it matters

Bangko Sentral ng Pilipinas Deputy Governor Mamerto Tangonan said digital payments have become central to the country's financial system as transaction behavior continues to evolve.

Tangonan said the BSP is expanding digital payment infrastructure through initiatives such as Bills Pay PH, Direct Debit, and Project Agila to encourage broader adoption among businesses and consumers.

Meanwhile, the Bureau of Internal Revenue is advancing its own digital transformation to simplify tax compliance.

BIR chief of taxpayer service programs and monitoring division Elenita Mariano said the agency is implementing an integrated digital strategy that provides automated end-to-end taxpayer services. She noted that Revenue Regulations No. 11-2025 mandates electronic invoicing and sales reporting for large and digitally active businesses.

Between the lines

The event also featured a panel discussion moderated by Citi Philippines Country Head of Services Arlene Nethercott, bringing together representatives from the BSP, BIR, and corporate clients.

Corporate participants included Philippine Seven Corp. head of finance and investor relations Lawrence M. De Leon and Monde Nissin CFO Jesse Teo, who discussed how collaboration between regulators and the private sector is supporting the country's transition toward a safer, more efficient, and inclusive cash-lite economy.

Adding a treasury perspective, Citi head of Asia South and Singapore liquidity management services Rupa Mankad discussed how real-time digital capabilities are transforming treasury operations and enabling more strategic financial management.

Closing the event, Nethercott emphasized the urgency of accelerating digital adoption.

“As we look ahead, accelerating digital payments is no longer just a technological convenience—it is an economic imperative,” Nethercott said. —Ramon C. Nocon | Ed: Corrie S. Narisma