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AdvocatesTV
July 16, 2020
Survey: 51.2M Filipinos do not have bank accounts
The number of unbanked Filipino adults stood at 51.2 million in 2019, or 71 percent of the total adult population in the Philippines according to the results of a survey conducted by the Bangko Sentral ng Pilipinas (BSP).
The BSP said, however, that the latest figure is lower than the 52.8 million recorded in 2017.
Its 2019 Financial Inclusion Survey (FIS) revealed that the lack of enough money remained the topmost reason for not having an account as reported by 45% of the unbanked. This was followed by perceived lack of need for an account and lack of documentary requirements.
"Among the main considerations of account holders in opening an account were: amount required to open an account (44%), maintaining balance (32%), documentary requirements (29%), and dormancy charges (17%)," the BSP said.
The survey also indicated that a high 60% and 46% of adults are still unaware of the basic deposit account (BDA) and cash agents, respectively. The BSP had put forward the two initiatives in the last three years to encourage more Filipinos to open an account.
"Designed as a no-frill bank account, the BDA has an opening amount of P100 or less, simple requirements (e.g., any official identification document), no maintaining balance, and no dormancy charges," it said.
The BSP also said cash agents were introduced to make bank services physically accessible to more clients. These agents are retail outlets (e.g., convenience stores, pharmacies, pawnshops) where one can avail banking services.
The survey also found that only 1 in 10 adults use their mobile phones and the internet for financial transactions. More than half of adults are using the internet and they access the internet through mobile data.
"Lack of awareness is the main reason for not using mobile phone or the internet for financial transactions, followed by lack of trust, weak signal or slow internet connection, and preference to transact at the bank or ATM," the BSP said.
The BSP said the FIS was conducted in February to March 2020 just before the imposition of the enhanced community quarantine in response to the COVID-19 pandemic.
The survey had a sample size of 1,200 adults from both Metro Manila Area (MMA) and areas outside MMA (Balance Luzon, Visayas and Mindanao).
The FIS is a nationally representative survey dedicated to collect financial inclusion data from users and non-users of financial products and services. The 2019 FIS is the third run of the biennial survey which began in 2015.
The BSP said, however, that the latest figure is lower than the 52.8 million recorded in 2017.
Its 2019 Financial Inclusion Survey (FIS) revealed that the lack of enough money remained the topmost reason for not having an account as reported by 45% of the unbanked. This was followed by perceived lack of need for an account and lack of documentary requirements.
"Among the main considerations of account holders in opening an account were: amount required to open an account (44%), maintaining balance (32%), documentary requirements (29%), and dormancy charges (17%)," the BSP said.
The survey also indicated that a high 60% and 46% of adults are still unaware of the basic deposit account (BDA) and cash agents, respectively. The BSP had put forward the two initiatives in the last three years to encourage more Filipinos to open an account.
"Designed as a no-frill bank account, the BDA has an opening amount of P100 or less, simple requirements (e.g., any official identification document), no maintaining balance, and no dormancy charges," it said.
The BSP also said cash agents were introduced to make bank services physically accessible to more clients. These agents are retail outlets (e.g., convenience stores, pharmacies, pawnshops) where one can avail banking services.
The survey also found that only 1 in 10 adults use their mobile phones and the internet for financial transactions. More than half of adults are using the internet and they access the internet through mobile data.
"Lack of awareness is the main reason for not using mobile phone or the internet for financial transactions, followed by lack of trust, weak signal or slow internet connection, and preference to transact at the bank or ATM," the BSP said.
The BSP said the FIS was conducted in February to March 2020 just before the imposition of the enhanced community quarantine in response to the COVID-19 pandemic.
The survey had a sample size of 1,200 adults from both Metro Manila Area (MMA) and areas outside MMA (Balance Luzon, Visayas and Mindanao).
The FIS is a nationally representative survey dedicated to collect financial inclusion data from users and non-users of financial products and services. The 2019 FIS is the third run of the biennial survey which began in 2015.