Philippine central bank welcomes banks' move to cut fund transfer fees

An earlier circular directed banks to bring interbank transfer fees to zero.

The Philippine central bank welcomed the decision of several banks to reduce or waive interbank digital transaction fees.

This makes electronic fund transfers more affordable and accessible for Filipinos, the Bangko Sentral ng Pilipinas (BSP) said in a statement on 8 July 2026.

“The BSP looks forward to further industry initiatives that will make digital financial services more affordable, convenient, and accessible for all Filipinos,” the statement read.

The reduction or waiving of the fees follows BSP Circular No. 1238, issued in June, directing banks to bring interbank transfer fees closer to zero.

The circular said that banks must also be ready to justify their fees with cost analyses if asked.

Amongst banks who reduced fees is BPI, which announced days later that they will permanently waive fees on interbank fund transfers through InstaPay and PESONet beginning 1 July.

“The value of payments system rises when more people are able to use it. That’s what’s called network externalities. For this, interoperability is essential, but the entry fee should also be low. If it can be zero, even better,” said BSP Governor Eli M. Remolona, Jr.

BSP Deputy Governor Mamerto E. Tangonan also emphasized that lower transaction costs support the continued growth of the country’s digital economy.