PowerPoint Presentation

3RD PILLAR. Efficient Payment and Settlement System.

TABLE OF. CONTENT. Payment and Settlement System Roles of Bangko Sentral ng Pilipinas National Payment System Act National Retail Payment Sytem.

01. PAYMENT AND SETTLEMENT SYSTEM.

PAYMENT AND SETTLEMENT SYSTEM. A payment system is no more than an organized arrangement for transferring value between its participants..

Three Elements of Payment & Settlement System. Payment Instrument.

02. ROLES OF BANGKO SENTRAL NG PILIPINAS.

Operator of PhilPaSS. Provider of credit facilities.

The BSP initiates the conduct of studies/research relating to payments system to ensure that it grows and matures in accordance with the global standards..

. Operator of PhilPaSS. Provider of credit facilities.

The BSP, through the Payment Systems Oversight Department of the Supervision and Examination Sector, oversees the payment systems in the country to ensure safeguards are in place to mitigate systemic risks arising from settlement, credit and liquidity risks of payments and settlement systems participants..

. Operator of PhilPaSS. Provider of credit facilities.

Intraday Liquidity Facility was established to maintain the smooth and efficient operation of the payments system in order to avoid interbank payments gridlock in the settlement process within PhilPaSS business hours . Overdraft Credit Line aims to assist bank experiencing unexpected or higher than usual volume of inward check transactions ..

. Operator of PhilPaSS. Provider of credit facilities.

Processing/posting of banks’ cash deposit and withdrawal transactions with Cash Department; Investment/maturities of funds placed by the Provident Fund Office; and Trading transactions as well as payments of maturing RRP/SDA placements with Treasury Department.

. Operator of PhilPaSS. Provider of credit facilities.

It ensures that the operation of PhilPASS is continuous , safe and efficient so that time-critical payments are completed as expected to facilitate and enhance economic processes, manage risks, and absorb shocks in order to promote financial stability ..

03. NATIONAL PAYMENT SYSTEMS ACT.

Republic Act No. 11127. It mandates the BSP to oversee payment systems in the Philippines and exercise supervisory and regulatory powers for the purpose of ensuring the stability and effectiveness of the monetary and financial system. It is an essential tool for the effective implementation of monetary policy, and the smooth functioning of money and capital markets..

04. NATIONAL RETAIL PAYMENT SYSTEM.

P olicy and regulatory framework that aims to provide policy direction in carrying out retail payment activities through BSP supervised financial institutions (BSFIs) by defining high-level policies , principles, and standards, which when adopted, would lead to the establishment of a safe, efficient and reliable retail payment system ..

Payment System Manage- ment Body. The PSMB manages risk and self regulates members through the creation of rules, risk monitoring , auditing and compliance and the development of a clear overall regulatory framework ..

Auto-mated Clear- ing Houses. a multilateral legally binding agreement that lays down the clearing and participation rules for a particular payment stream to facilitate electronic fund transfers among its participants..

Empowering every Juan and Maria. T he state when end-users or consumers are able to transfer funds from one account to another account in any participating BSP ​​supervised financial institution. NRPS likewise facilitates and supports the delivery of a wide range of financial products that cater to the needs of all users, especially the small-value, high frequency payers of the low-income segment..

P E S O Net. The Philippine EFT System and Operations Network which can be considered an electronic alternative to the paper-based check system is a more inclusive platform for EFTs The PESONet is also an opportunity for smaller industry players such as thrift and rural banks to have greater participation in the retail payment system ..

Insta Pay. A real-time low-value EFT credit push payment scheme for transaction amounts up to P50,000. considered an electronic alternative to the paper based check designed to facilitate small value payments that will be especially useful for the purchase of retail goods, paying toll fees and tickets.

Acronyms. To Remember. RTGS................Real-Time Gross Settlement System PhilPASS ........Philippine Payment and Settlement System NRPS................National retail Payment System NPSA................National Payment System Act (R.A 11127) PESONet .........Philippine EFT System and Operations Network PSMB...............Payment System Management Body ACH..................Automated Clearing Houses CSO..................Clearing Switch Operators.

Thank You!. Pundan , Erica Mari E..