The Bangko Sentral ng Pilipinas (BSP) has introduced the Manual of Regulation of Payment Systems (MORPS), marking the first-ever comprehensive codification of payment systems regulations in the Philippines.
According to ZaouiaBSP Governor Eli Remolona Jr. stressed the importance of MORPS as a policy framework to support payment system reforms in line with global standards and best practices. The initiative represents a crucial step in making regulatory guidelines accessible, aimed at streamlining the myriad of policies previously issued by the central bank.
MORPS is an essential resource for National Payment System (NPS) participants and the general public, providing a detailed guide to the regulations governing the NPS.
This manual includes the services, processes, and responsibilities that participants must comply with. The manual summarizes the BSP’s payment policies and regulations, stemming from legislative acts such as the new Central Bank Act and the NPS Act, among others. The BSP plans to update the MORPS annually to incorporate new amendments and updates, ensuring that the document remains current and comprehensive.
Governor Remolona highlighted the role of MORPS in encouraging payment system operators (PSOs) to comply with standards aimed at improving the security, efficiency and reliability of the national payment system. However, its relevance extends beyond the PSOs, serving as a valuable tool for individuals, institutions and agencies engaged in the payments ecosystem. MORPS not only organizes existing regulations but also introduces new sections covering regulatory frameworks, retail payment systems, governance, licensing, settlement processes and an enforcement framework to manage compliance.
The enforcement framework notably consolidates previous BSP issuances, emphasizing the importance of regulatory compliance for the stability and integrity of Philippine payment systems. Non-compliant members face supervisory and enforcement measures as stipulated in the new Central Bank Act and the NPS Act.
This comprehensive approach by the BSP underscores its commitment to fostering a strong and inclusive financial ecosystem, facilitating the growth of digital payments, and ensuring a secure financial landscape for Filipinos.
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