Banking, registrations and other transactions have made a major transition online—now, even investing in retirement plans can be done through mobile phones. Through the Bangko Sentral ng Pilipinas’ (BSP) “Digital Personal Equity and Retirement Account (PERA)”, Filipinos can now conveniently invest in long-term retirement products on top of accessing other existing programs of the Social Security System or Government Service Insurance System.
“[This] will allow Filipinos to invest in PERA investment products anytime, anywhere using only their mobile phones and other devices. This is firmly in line with the BSP’s thrust to foster digitalization in the financial system and to bring the BSP closer to the people,” says BSP Governor Benjamin Diokno.
Established through R.A. 9505 of 2008, Digital PERA promotes capital market development and savings mobilization in the country. A maximum of five accounts can be opened by a contributor under one PERA administrator. Contributions reaching P100,000 at most for local residents and P200,000 for expatriate Filipinos will receive a five percent tax credit, which can be used on income tax liabilities.
Diokno notes that this program will allow PERA-accredited banks and financial institutions to provide convenient and affordable retirement products to more investors through various efficient channels. The virtual launch of Digital PERA will be broadcasted on BSP’s official Facebook page on Sept. 8.