The Philippine Postal Corporation (PHLPost) has partnered with UBX, a leading open finance platform in the Philippines, to launch “Kasama Lahat”, a capacity development project which will transform the country’s premier postal agency into a modern hub that offers financial and data services.

Postmaster General Norman Fulgencio and UBX president John Januzczak signed the agreement on Thursday to transform each post office outlet into a community financial center, promoting financial inclusion, especially in far-flung areas.

“The Post Office Digital Innovation signifies the commitment and support of the Post Office under the new administration of President Ferdinand Marcos Jr. in serving the public who deserve no less than the best postal service by global standards,” Fulgencio said in a news release on Saturday.

Under the partnership, UBX will provide the necessary technical knowledge in digital finance and open finance to hasten the Post Office’s digital transformation journey.

With its ubiquity and reach, the Post Office is well-positioned to provide the customers with necessary financial services, through its network in cities and municipalities nationwide.

Through the “Bangko sa Barangay” service of UBX, the Post Office will be able to transform thousands of its outlets nationwide into financial hubs, offering various types of services such as disbursements, fund transfers, cash withdrawals, loan applications, payments, insurance, and collections, among others.

PHLPost has approximately 1,300 outlets across the country.

“This groundbreaking partnership with the Post Office reflects our strong commitment to include everyone into the country’s financial system. With its reach and data, the Post Office has the power to drive financial and social inclusion through its digital transformation initiative,” Januzczak said.

Aside from transforming each postal outlet into a community financial center, the partnership will also empower postmen or letter carriers to become cash agents. They will be trained to provide guidance on how to apply for financial products and services, as well as to supervise the provision of these services.

In the long term, “Kasama Lahat” aims to establish the Post Office as Open Finance Hubs, which can process data transactions as well, such as validation of customer information for loan applications, asset validation, and even collection or debt restructuring services.

The Post Office will also be able to establish a product line that will establish its financial independence from the budget provisioned by the government, giving the postal agency a more sustainable business culture.

The profit margins will allow it to continue its vision of modernization.

“Our digital transformation journey, powered by UBX, allows us to diversify our services beyond the Filipino people’s postal needs. With our network of over 1,300 outlets and more than 3,500 postmen, we are in a unique position to provide financial services that promote both financial and social inclusion in the country,” Fulgencio said.

Data from the Bangko Sentral ng Pilipinas showed that 47 percent of Filipino adults are still unbanked.

The government aims to include at least 70 percent of Filipino adults in the country’s financial system by 2023. (PNA)