USAID/E-PESO Y5Q3 – Y7Q1 WORK PLAN

under Contract No. AID-492-C-15-0001, aims to promote the adoption of electronic payments in the Philippines. The project's activities are designed to build on the gains from the efficient, transparent, and inclusive retail e-payment system established by E-PESO. The project's objectives include achieving broad-based growth and financial inclusion, with a special focus on strengthening the cybersecurity of the country's digital payments system. E-PESO's activities are aimed at achieving the following outcomes: strengthening the cybersecurity of the country's digital payments system, increasing adoption of e-payments, and expanding access to finance for women entrepreneurs. The project will also assist the Department of Budget and Management (DBM) in rolling out the Budget and Treasury Management System to national government agencies (NGAs), work with the Bureau of Internal Revenue (BIR) to enable tax software providers to incorporate e-payments functionality into their products, and launch e-payments adoption in selected cities. The project has made significant progress in the past period, including the launch of the InstaPay low-value, real-time electronic funds transfer automated clearing house (ACH) in April 2018. E-PESO also completed its ongoing institutional payments baseline study and market research to help the payments industry mitigate risks in the development of innovative e-payments products. The two key ACHs established by E-PESO, PESONet and InstaPay, have continued to grow in uptake, with PESONet recording over $2 billion in transaction value and InstaPay having 3 million transactions in August 2019. The project has received additional funding from the Women's Global Development and Prosperity Initiative program (W-GDP) to train and enable women entrepreneurs to become online sellers and e-payment users. E-PESO will also enhance its work to deliver and sustain the benefits of payments policy reforms already achieved by increasing adoption of e-payments. The project's updated work plan for Years 5-7 presents an updated set of project activities for the period from April 1, 2019 to December 31, 2020, and presents updated targets for Years 5 to 7. The project's activities are designed to support the objectives of the Digital Connectivity and Cybersecurity Partnership of the United States Government's Indo-Pacific Strategy and the E-PESO scope of work. E-PESO will work closely with the Central Bank of the Philippines (BSP) to strengthen the digital security of e-payments system and undertake PESONet marketing communications program to encourage the adoption of e-payments. The project will also assist the BSP in rolling out the National Retail Payment System (NRPS) and undertake market research to help the payments industry mitigate risks in the development of innovative e-payments products. The project's updated work plan presents a comprehensive set of activities aimed at achieving the project's objectives, including strengthening the cybersecurity of the country's digital payments system, increasing adoption of e-payments, and expanding access to finance for women entrepreneurs. The project's activities are designed to support the objectives of the Digital Connectivity and Cybersecurity Partnership of the United States Government's Indo-Pacific Strategy and the E-PESO scope of work.