Mindanao Times

Digital penetratio­n at 1 every 3 clients - bank


THE AYALA-led Bank of Philippine Islands (BPI) is looking at improving the digital penetratio­n especially in Mindanao where it is at a low of 32%

In an electronic mail sent to the TIMES,, Noel A. Santiago, bank chief digital officer, said that the digital penetratio­n in Mindanao is a bit lower than the national average of 40%,

Although he admitted that a national broadband infrastruc­ture is among the key factors in enhancing digital penetratio­n not just for the banking sector but also other industries on a nationwide scale, which is “out of our hands,” Santiago said the use of smartphone­s will help the bank improve this as these tools have been present even in remote areas..

“We continue to work with our public and private sector partners to push for greater digitaliza­tion, especially in regions like Mindanao, to help enable financial inclusion,” he said.

Although he did not provide data on the client base of the bank in Mindanao, Santiago the bank has about 8.66 million clients nationwide with about 1,167 branches, including those of the BPI Family Savings Bank and BanKo.

On the number of branches, 124 are located in Mindanao.

Although he did not mention any amount in terms of capital expenditur­e, Santiago said is the bank will continue to invest in digital.

Before the pandemic, he said, the bank was looking at a 20% increase in revenue by 2023 that it could attribute to digitaliza­tion. However, he added, “we may need to recalibrat­e this as soon as we have a better sensing of how this pandemic situation will pan out.”

Despite the setback, the

bank also saw an opportunit­y to grow its bottomline­s through digital bank as it earlier reported that about 90% of the transactio­ns during the period were done through the different online channels.

Before the pandemic,72% of the bank transactio­ns were through online platforms.

To maximize the use of cyberspace, he said the bank is exploring “other tools and ways to provide a more convenient and secure digital banking experience.”

“Our digitaliza­tion journey is an ongoing process because the client’s needs and situations evolve over time.

We will continue to be relevant and transform our services and facilities to align with the ever changing societal and market dynamics that impact our client,” he added, pointing out that the bank is preparing these new tools and will be unveiled soon.

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