Pasig City aims to strengthen its livelihood and social reintegration programs by adding financial education for vulnerable sectors.
The program intends to help people receive both livelihood assistance and financial literacy, allowing them to learn how to manage money and make better financial decisions so they can sustain the income they earn from their businesses or other livelihood activities.
The initiative will focus on several groups, such as relocated families, micro-entrepreneurs, solo parents, persons with disabilities, senior citizens, and people recovering from drug use. These groups may have different financial needs, but they will be included in the financial education program to help them better manage the support and opportunities they receive.
To the Pasig City Government, financial education is an important part of making livelihood programs more sustainable. Providing financial assistance or skills training can help people start a livelihood, but having the knowledge to manage the money from that livelihood can also affect whether the business or source of income can be sustained.
Pasig City’s Officer-in-Charge of the Anti-Drug Abuse Office, Zenaida Concepcion, said that beneficiaries need to understand how to manage and sustain a business after receiving livelihood and skills training.
Financial assistance may be available through the local government, but having financial education can help beneficiaries make informed and better decisions when handling their resources.
The local government’s approach makes financial education more practical. Instead of treating financial knowledge as something separate from livelihood programs, the city includes it as part of the support given to beneficiaries.
Supporting Financial Inclusion
This initiative by the Pasig City Government is connected to the broader goal of financial inclusion in the Philippines.
Financial inclusion is not only about making financial services available. People also need to be knowledgeable enough and confident enough to understand and use these services properly.
The program is aligned with the Bangko Sentral ng Pilipinas’ National Strategy for Financial Inclusion, which aims to expand access to financial services, especially for people who remain underserved, while also supporting financial resilience and better financial decision-making. The BSP’s strategy also includes strengthening financial education and promoting the effective and safe use of digital financial services.
For vulnerable sectors, this is important because some people may depend heavily on cash or may have limited experience with formal financial services. Others may have access to financial products but may not fully understand how to manage their money, save, borrow, or operate a small business.
Financial education can help address this knowledge gap. By learning basic financial management, beneficiaries can become more prepared to handle their income, expenses, savings, and business activities.
The partnership between the Pasig City Government, BDO Foundation, and the BSP also shows how financial inclusion can involve cooperation between government and private organizations.
The program was formalized through a memorandum of agreement. The ceremonial signing was held at the Pasig temporary city hall, with Mayor Vico Sotto, BSP Deputy Governor Bernadette Romulo-Puyat, and representatives from the city government and BDO Foundation taking part.
BDO Foundation President Mario A. Deriquito stated that financial knowledge can contribute to stronger families and communities. The foundation has also worked with the BSP and other public and private organizations in promoting financial education.
The partnership goes beyond simply providing information. The goal is to connect financial knowledge with the actual livelihood and social support programs already provided by the government.
Financial Literacy and Digital Financial Inclusion
The Pasig program emphasizes an important part of today’s financial environment: financial literacy can help people become more prepared to use formal and digital financial services.
As financial services become more accessible through digital platforms, people have more ways to manage their money beyond using physical cash.
Digital financial services allow users to make transactions, manage funds, and access financial tools through digital platforms. However, having access to these services does not automatically mean that people know how to use them responsibly.
This is where financial education becomes more important. A person with an understanding of even basic money management may be better prepared and more knowledgeable about how to compare financial services, understand transactions, and make informed decisions about the financial tools that are appropriate for their needs.
The Bangko Sentral ng Pilipinas has also recognized digitalization as an opportunity to expand financial inclusion, especially for people who have traditionally had limited access to financial services. Its financial inclusion strategy includes efforts to support digital finance while also strengthening financial education.
This creates a connection between the financial literacy efforts of the Pasig City Government and digital financial service providers such as DOPAY. DOPAY is a BSP-licensed Electronic Money Issuer (EMI) and Virtual Asset Service Provider (VASP), providing e-wallet and crypto-wallet services through its platform.
The role of a digital financial service provider is different from the role of a financial education program. The initiative of the Pasig City Government focuses on helping people develop the knowledge needed to manage their finances and make informed decisions. On the other hand, digital financial platforms provide tools that people can use to manage their financial transactions more conveniently.
For people who are becoming more familiar with formal financial services, digital wallets can provide an alternative to relying entirely on physical cash. However, the availability of a digital wallet or other financial tool is only one part of financial inclusion. Users also need to understand how these services work and how to use them properly.
This is why financial literacy, and digital financial access can complement each other. Financial education can help address the knowledge gap, while digital financial services can help address the accessibility and convenience side of the financial system.
DOPAY has also launched DOPAY Academy, a learning platform that aims to provide users with information about cryptocurrency trading and other digital financial tools. Through the platform, users can learn at their own pace and gain more knowledge that may help them better understand digital financial services.
Ultimately, financial inclusion is not only about giving people access to financial tools. It also involves making sure that people who receive access understand the tools and have enough knowledge to use them properly. The combination of financial education and accessible digital financial services can therefore help more Filipinos participate in the formal financial system while making better decisions about their money.
