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BSP Deputy Governor Bernadette Romulo-Puyat says only 27% of Filipino teens aged 15 to 19 have bank accounts, while only 21% have savings. The age group is 31 million strong, she says.
MANILA, Philippines – The Bangko Sentral ng Pilipinas (BSP) has launched the Youth Financial Inclusion (YFI) initiative to help young Filipinos become more financially literate.
The program, launched on January 20, is a component of the National Strategy for Financial Inclusion (NSFI) 2022-2028. It covers several aspects such as account onboarding, financial education, consumer protection, as well as advocacy, policy and regulatory support.
According to BSP Deputy Governor Bernadette Romulo-Puyat, only 27% of Filipino teens aged 15 to 19 have bank accounts, while only 21% have savings.
She underscored the importance of involving young people in financial literacy efforts, as well as hearing out their suggestions to enhance the understanding of key topics such as spending, investing and safeguarding against financial scams.
“You [15 to 19-year-olds] are 31 million strong. That is nearly one-third of our population. With this strength in numbers, you can influence the economy in ways that are both significant and lasting,” she said.
Some programs under the YFI include an ambassador program, a hackathon and YFI Congress, where Filipino students can share their own insights on financial inclusion.
A 2024 report from the ASEAN+3 Macroeconomic Research Office (AMRO) found that the Philippines had the second-youngest population in the region, with a median age of 24.5. It estimates that the Philippines’ population will peak in 2092.
National Youth Commission (NYC) chair Joseph Francisco Ortega also noted that Filipinos’ lack of knowledge in managing and planning their finances could affect the economy in the long run.
“Understanding financial concepts early in life sets the stage for long term success. Bakit (Why)? Because it empowers you to make smart choices about spending, saving, investing,” he said.
The BSP identified the youth as a priority sector in the NSFI. Its 2021 Financial Inclusion Survey found that only 3% of Filipinos aged 15 to 19 had formal bank accounts, while 23% had e-money accounts.
According to the central bank’s survey, 44% of all Filipinos do not have a bank account. 45% of these unbanked Filipinos say they have not opened one because they did not have enough money, while 40% did not have the documents needed to open an account.
The central bank’s annual reports of the NSFI does not indicate a specific financial literacy target for the medium-term, but it wants half of Filipinos to have savings in formal financial institutions by 2028. It also wants to boost the percentage of Filipino adults with an ‘acceptable’ level of financial literacy. This entails an understanding of concepts such as inflation, simple and compound interest rates and asset diversification. – Rappler.com
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