The Bangko Sentral ng Pilipinas’ (BSP) ambitious financial education (fin-ed) initiative is estimated to reach almost 60 million Filipino adults and students to be financially healthy and resilient especially in times of financial shocks such as during a public health crisis, according to BSP Governor Benjamin E. Diokno.

“During this pandemic and beyond, one should have the ability to wisely manage incomes, no matter how small; adeptly manage credit; and build assets to prepare for the future,” said Diokno on Thursday.

The largest of BSP’s fin-ed target is the 29 million learners or students in basic education, followed by the 10 million conditional cash transfer beneficiaries. It will also benefit the 2.3 million overseas Filipino workers and potentially 14 million Filipinos abroad.

The central bank is also undergoing programs to extend fin-ed to these groups: 1.9 million fisherfolk; 1.4 million micro, small and medium enterprises; one million civil servants; and 800,000 teachers. It will also reach 220,000 Philippine National Police (PNP) personnel, 140,000 soldiers or members of the Armed Forces of the Philippines (AFP), and 28,000 firefighters.

“When fully institutionalized, BSP’s fin-ed programs with partner-agencies have the potential multiplier effect,” said Diokno.

The BSP has forged strategic partnerships with nine government agencies on sustainable financial education programs. “Aside from enhancing individual financial well-being, a financially-literate citizenry supports financial stability and enhances inclusive economic growth. Thus, the BSP remains committed to the promotion of financial education,” said Diokno.

Since 2018, the BSP has signed separate memoranda of agreement with AFP, PNP, BFP, Bureau of Fisheries and Aquatic Resources, Civil Service Commission, Department of Education, Department of Trade and Industry, Department of Social Welfare and Development, and the Overseas Workers Welfare Administration.

Given the combined networks, resources and competencies of these agencies, and with support from selected bank foundations such as BDO Foundation, BPI Foundation, Maybank Foundation and Visa Foundation, the financial education programs can be implemented in a scalable and sustainable manner, said Diokno. 

“Most of our partners are government agencies, but we are also supported by bank foundations (that) chose fin-ed as part of their corporate social responsibility (CSR). By working with non-profits, we avoid potential conflicts of interest,” he stressed. “We clearly delineate our fin-ed advocacy from our functions as a supervisor of financial institutions.”

“The strategy is to equip priority target audiences with knowledge and skills necessary for them to make prudent financial decisions,” said Diokno. “The ultimate objective is for every Filipino to be financially healthy, with the resiliency to manage financial shocks such as those brought by this pandemic.”

He called the current COVID-19 pandemic as a “most opportune ‘teachable moment’”.

“The ability to wisely manage incomes, no matter how small; adeptly manage credit; and build assets to prepare for the future are of paramount importance, during and beyond the pandemic,” said Diokno.