The Department of Social Welfare and Development (DSWD) is set to convene an online “Virtual Financial Service Providers (FSP) Summit” on Wednesday as part of efforts to shift to digital disbursement the second tranche of the cash relief assistance for public utility vehicle (PUV) drivers.

In a social media post on Tuesday, DSWD Secretary Rex Gatchalian explained the rationale behind the planned shift to digital payouts.

“The 1st round of payouts for public utility drivers was done manually to make sure that we verified and validated that the drivers were real drivers (and real people) especially since the lists were coming from external sources beyond DSWD. It’s like the ‘know your customer’ phase of banks when opening bank accounts. For the succeeding rounds, we (will) go digital payouts for PUV drivers who have e-wallets — TNVS (transport network vehicle service), MC (motorcycle) taxi, and delivery service drivers,” Gatchalian posted on X.

The DSWD also welcomes all e-money issuers, mobile wallet operations and financial technology providers to participate in the virtual conference.

The initiative builds on the lessons learned from the initial rollout of the CRA under the DSWD’s Assistance to Individuals in Crisis Situations (AICS) program, reflecting the agency’s continuing efforts to improve its service delivery mechanisms to those affected by the rising fuel costs brought by the ongoing geopolitical conflict in the Middle East.

Assistant Secretary Johannes Paulus Acuña, the DSWD’s Chief Information Officer, emphasized that shifting to digital systems will help reduce administrative and operational costs while providing more accessible and convenient channels for driver-beneficiaries to access funds.

“Magbibigay-daan po ito sa mas accessible at efficient na financial payments, kung saan mas maraming benepisyaryo ang mabilis na masiserbisyuhan at mababawasan din ang mga administrative costs sa manual distribution (This will give way to more accessible and efficient financial payments, where more beneficiaries will be promptly served while the operational costs in manual distribution are lessened),” Acuña said in a separate statement.

The initiative is likewise aligned with existing government policies, including Republic Act Nos. 12254 (E-Governance Act) and 11032 (Ease of Doing Business Act), and Commission on Audit Circular 2021-014 on the use of electronic payment systems in government transactions.

Acuña assured that while digital disbursement is being explored, safeguards and verification mechanisms will remain in place to ensure that assistance reaches the rightful beneficiaries.

The DSWD is now looking into accrediting FSPs that can support digital fund disbursement of cash aid, allowing real-time, account-based transfers to beneficiaries through e-money or mobile wallet platforms making the assistance easily accessible.

The planned summit marks a key step in the DSWD’s transition toward digital disbursement, in line with its commitment to deliver timely, secure and efficient financial assistance to affected sectors.

Interested digital financial service providers may access the DSWD virtual summit via the QR code posted on the official DSWD Facebook page @dswdserves. (PNA)