Real-time payments seen contributing $323 million to GDP

Real-time payments are projected to provide banking access to nearly 21 million unbanked Filipinos and contribute USD323 million of additional economic output by 2028, ACI Worldwide and The Centre for Economics and Business Research said in a report by Philippine News Agency. 

In a statement on Thursday, ACI Worldwide said that based on its Real-Time Payments: Economic Impact and Financial Inclusion report released in October, the additional economic output in 2028 is equivalent to 29,238 jobs in the Philippines.

According to the report, real-time payments are expected to increase the banked population in the Philippines by 23 percent, equivalent to 21 million new account holders.

This increase presents a profit opportunity of USD28.7 billion for financial institutions by 2028, calculated based on the typical customer lifetime value estimated at USD1,375.

According to ACI, the country's digital payment landscape "is at an inflection point driven by rapid adoption and government initiatives, signaling immense growth potential."

The Bangko Sentral ng Pilipinas earlier said that results of its 2023 Report on E-Payments Measurement showed that the share of digital payment transactions to total monthly retail payments in the Philippines grew from 42.1 percent in 2022 to 52.8 percent in 2023.

This is equivalent to 2.62 billion monthly payment transactions made digitally.

"The rise of real-time payments has the potential to open up banking access to millions of new customers, presenting significant growth and profit potential for banks that capitalize on this to modernize and streamline payment technology and services," ACI Worldwide senior vice president Leslie Choo said.

"Real-time payments have asserted their role as a powerful enabler for societal transformation, bridging critical gaps in financial access and empowering millions of Filipinos," she added.

The report, meanwhile, revealed that globally, real-time payments are expected to contribute USD285.8 billion in additional gross domestic product growth and create more than 167 million new bank account holders by 2028.