1. LEVERAGING REMITTANCES FOR
ASSET BUILDING:
Product Evolution, Partnerships and
Challenges

2. REMITTANCES AND DEVELOPMENT:
THE PHILIPPINE PERSPECTIVE AND EXPERIENCE
Presentation of
Secretary Imelda M. Nicolas
Chairperson, Commission on Filipinos Overseas

3. The Philippines
ranks third globally
in terms of
remittances $24 billion
These remittances
constitute 8.5% of
the country’s GDP.
Sources: World Bank and Bangko Sentral ng Pilipinas

4. REMITTANCES TO THE PHILIPPINES, 1974-2012

5. HOW REMITTANCES ARE SPENT
FOOD – 95.4%
EDUCATION – 67%
SAVINGS – 39.4%
HEALTH – 54.9%
APPLIANCES – 25.9%
DEBT – 42.1%
INVESTMENTS –3.8%
Source: BSP Consumer Expectations Survey, 2nd Quarter, 2013.

6. “an inclusive financial system which provides
for the evolving needs of a diverse public.”

7. “Policymakers will need to focus on leveraging
remittances as a tool for economic development.
While remittances are private transfers, the
government can ensure that the policy environment
is conducive to the use of remittances for investment
in well-considered financial products, in productive
activities such as entrepreneurial undertaking as well
as in better housing, education and healthcare for
remitters and their beneficiaries, improving the
financial education of the overseas Filipinos
community and implementing measures to further
promote the flow of remittances through the financial
system that would help catalyze the development
role of remittances.”

8. Addressed the goal of
harnessing the potential of
overseas remittances for
poverty reduction and
consequently, local economic
development
Supports policies that transform
overseas remittances for
development, savings and
investments, and build a viable
collective remittance fund

9. The ReDC is both an advisory
and policy recommending body
and a venue for regular
dialogues and feedback on
issues regarding remittances
Per 2012 GFMD, the only one
of its kind in the world
Members include migrants’
associations, banks and remittance
service providers, migration-related
government agencies, multi-lateral
organizations like UNDP and the
World Bank, the academe, and nongovernmental organizations.

10. COMMISSION ON FILIPINOS OVERSEAS
Citigold Center, 1345 Quirino Avenue corner Pres. Osmeña Highway, Paco,
Manila 1007, Philippines
Tel. nos. (632)552-4700 local 401; (632)561-8291
Fax no. (632)561-8332
E-mail: info@cfo.gov.ph
Website: www.cfo.gov.ph

11. Please use minimum font size 24.

16. PRODUCTOS RELACIONADOS CON
REMESAS
Educación
Financiera
Capital de
Negocios
Creación de
Empresas
Vivienda
Completa
Vacaciones y
Escolaridad
Migroseguros

17. Producto Remesas Resultados:
Creación del vínculo con
los receptores de remesas
en las diferentes
comunidades y, con los
emisores en EEUU y
España.
Al 31 de Agosto del 2013
entrega de : 94,220
remesas por un monto de
RD$1,392,748,355.00
(equivalentes a
USD$32,540,849.42)
7,513 pólizas de Micro
seguros vendidas a
receptores de remesas. En
general se han vendido
19,547.
Mas de 1,208
beneficiarios de remesas
capacitados en Educación
Financiera.
Mas de 100 beneficiarios
de remesas realizaron el
Programa de Creación de
Empresas.

21. “Leveraging Remittances for Asset
Building: Product
Evolution, Partnerships and
Challenges”
ASKI Greg Macapagal

23. Product Evolution
Creates value added services such as
1. MFI loan disbursements and repayments
2. Savings
3. Banking
4. Airtime prepaid loading
5. Bills payment

24. Partnerships
Network building with
1. Banks
2. Money Transfer Operators (MTO)
3. Cooperatives
4. Product suppliers

25. 1.
2.
3.
4.
5.
6.
7.
Challenges
“Customers” are not willing to trust an
unfamiliar system.
Agents are located in city/town proper.
Regulatory issues.
Competition
Pricing
Exclusivity clause of partner remittance
company.
Weak signal of telecommunication’s network on
remote areas.

26. 1.
2.
3.
4.
Strategies
Ready market for remittance services.
Aligned loan product that can be a channel of
remittance services.
Coordinated transactions with an entity who is
allowed to do remittance.
Established satellite offices to render program
and services closer to communities.

27. L’UMPAMECAS et ses partenaires pour
les envois de fonds: évolution et défis
Adama Ba, Pamecas

28. Présentation de l'UMPAMECAS
• Date de création : avril 1995 entre le gouvernement
sénégalais et le gouvernement canadien
• Nombre de membres: 570 000 membres
• Actif du réseau: FCFA 56 milliards (USD 110 millions)
• Encours de crédit: FCFA 37 milliards (USD 73 millions)
• Encours d’épargne: FCFA 30 milliards (USD 59 millions)
• Nombre d’agences: 80 agences
• Produits et services offerts: épargne, crédit, transfert d’argent
international et domestique, virement salaire et
pension, assurance santé, finance islamique et gérance
immobilière
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29. Présentation de notre volet transfert d’argent
• Nos produits de transfert sont:
– Cash-to-cash (depuis 2005)
• Cash to cash 2012: USD 27 millions payés pour une commission
perçue de USD 254 000
– Cash-to-compte (depuis 2009): 3,841 transactions USD 1,5
millions
• Les corridors les plus importants:
– Italie- Sénégal
– Espagne – Sénégal
– Gabon - Sénégal
– Etats-Unis – Sénégal
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30. Les partenariats: quelle est la meilleure
stratégie?
• Pamecas a signé des contrats avec 6 partenaires de transfert
d’argent pour les envois de fonds internationaux:
– Moneygram, Money Express, RIA, Moneytrans, Western
Union et Choice Money Transfert
• Deux modèles d’affaires cohabitent actuellement:
– Un modèle d’affaires négocié directement avec les
banques ( cas Moneygram et Western Union)
– Un modèle d’affaires où ce sont les opérateurs de transfert
qui ont négocié directement avec le réseau et nous ont mis
en relation avec la banque
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31. Les partenariats: quelle est la meilleure
stratégie?
• Choisir un partenaire idéal:
– Accès à la plateforme et/ou Avoir un seul plateforme pour
le volet transfert pour éviter d’ouvrir plusieurs plateformes
à la fois
– Distinguer le cash-to-compte et cash-to-cash dès l’émission
(tarification)
– Être prêt à développer un plan de communication conjoint
– Accepter de faire un suivi formel et régulier du partenariat
– Un système de reporting adapté à nos besoins
– Respect des engagements par les partenaires transfert
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32. THANK YOU