Philippines releases draft rules on digital payments

The Philippine finance department, along with other government agencies, drafted the implementing rules and regulations (IRR) of Executive Order (EO) No. 170, which was signed in May by then-President Rodrigo R. Duterte. EO No. 170 mandates the adoption of digital payments for government disbursements and collections. Under the draft rules, all covered agencies will have to fully implement digital disbursements within six months of the effective date. The rules stated that for the implementation of digital collections, a tiered transition period not exceeding three years shall apply. The transition period would depend on the agency’s operational readiness and capability. The draft rules also proposed the creation of a technical working group for the adoption of digital payments. The group will determine which agencies are capable of adopting digital payments within a shorter or longer period.