BanKO facilitates mobile banking in Ilijan

MANILA, Philippines - BPI Globe BanKO (BanKO), Globe Telecom (Globe) and the US Agency for International Development (USAID) Scaling Innovations in Mobile Money (SIMM) have joined hands in helping rural communities gain access to formal financial services such as cash in and cash out transactions, bills payments, airtime loading, money remittance, and micro-insurance purchase using their mobile phones.

The partnership was announced during the launch of the mobile money financial service for the Ilijan Multi Purpose Cooperative (MPC).

BanKO is the first mobile-based, microfinance-focused savings bank in the Philippines and advocates financial inclusion of the country’s un-banked sectors, and seeks to provide the low-income segment with secure and convenient access to affordable financial services.

The lack of access to financial services in this rural community prompted USAID/SIMM to initiate the intervention, believing that mobile money can offer an innovative, cost-effective means to create high-impact development that can benefit marginalized families.

USAID/SIMM advances financial inclusion by boosting expansion and rapid adoption of m-money services and creating an enabling environment for m-money.

With 628 members, Ilijan MPC in Batangas City services janitorial manpower and concessionaire requirements of the country’s largest electricity-generating facility located in the coastline of Batangas Bay. 

Globe Corporate Social Responsibility officer-in-charge Fernando Esguerra underscored the importance of helping those in the underserved communities improve their lives through enterprise development and financial inclusion.

“This initiative is part of the iProsper pillar of Globe CSR. Globe supports enterprise development to provide opportunities to underserved Filipino communities and to give them a better sustainable future. 

One of the ways to do this is through access to formal financial services that are secure, relevant and affordable like what BPI Globe BanKO is offering,” Esguerra said.

On the other hand, BanKO vice president for Community Banking Rob Nazal said residents now have the capability to conduct bank transactions within their community, and have access to BanKO’s services using only their mobile phones.

Previously, members of Ilijan MPC would have to travel to the nearest town about 25 kilometers away just to conduct their financial transactions. 

This time, they could simply visit any community establishment such as pawnshops and sari-sari stores for their cash-in and cash-out requirements as long as their Globe SIM card is enrolled in a BanKO account. 

The same SIM card can be used for other financial services.

Likewise, Globe, BanKO and USAID were able to help the organization improve their organizational capacity, operational efficiency, outreach, and good governance via m-money.

Globe assists in establishing BanKO partner outlets by providing BPO Start Up Kit Subsidy, ATM Cards Subsidy, and special Globe BridgeCom SIM cards with discounted call and text services.

Aside from Ilijan MPC, BanKO also provide similar services to two other organizations, such as Tri-people Concerned for peace progress and development of Mindanao (TRICOM) and the Federation of Cooperatives in Mindanao (FEDCO).

 TRICOM is a non-government institution promoting and protecting the rights of indigenous peoples, Bangsamoro people, and settlers.

FEDCO is the umbrella organization of banana cooperatives composed of agrarian reform beneficiaries operating in Davao City as well as the provinces of Davao del Norte, Davao del Sur, and Compostella Valley.