Skip to Main Navigation

COVID-19 G2P Cash-Transfer Payments : Case Study : Philippines (English)

The COVID-19 (coronavirus) pandemic is having devastating impacts on the economy and people of the Philippines, and since the onset of pandemic, the Government of the Philippines (GoP) has responded with strong social protection measures. The Social Amelioration Program (SAP) enacted under the Bayanihan To Heal as One Act in March 2020 and managed by the Department of Social Welfare and Development (DSWD), aims to provide cash assistance to 18 million households (over 75 percent of total households) in the country. The first tranche of SAP (SAP 1), however, experienced significant delivery challenges. This experience led to several changes in the operation of the second tranche of SAP (SAP 2). This case study aims to document the lessons learned from the implementation of the SAP 2, specifically focusing on the digital G2P (government to persons) payment delivery. Digital delivery in SAP 2 was a significant departure from SAP 1 which almost entirely relied on manual processing and physical cash delivery except for the beneficiaries of the Pantawid Pamilyang Pilipino Program (4Ps), the country’s flagship safety net program. It is also an important milestone where GoP introduced large-scale G2P payments through multiple Financial Service Providers (FSPs) beyond the state-owned Land Bank of the Philippines (LBP). SAP 2 introduced several important changes that are worth noting: Expanded pool of beneficiaries: SAP 2 added over 5 million waitlisted households while continuing to support SAP 1 beneficiaries residing in the enhanced community quarantine (ECQ) areas in early May 2020; Introduction of an online application platform: in an attempt to expedite the digitization of beneficiary records, SAP 2 tried to use an online platform; Digital payments through FSPs: the DSWD signed a memorandum of agreement with 6 FSPs, facilitated by the Bangko Sentral ng Pilipinas (BSP), to deliver payments; and Increased potential for financial inclusion and G2P payments with customer choice: FSPs helped beneficiaries open bank/e-money accounts, which could potentially be converted to full transaction accounts for multiple purposes including G2P payments.


  • Author

    Cho,Yoonyoung, Kawasoe,Yasuhiro, Rodriguez,Ruth Reyes, Valenzuela,Myra

  • Document Date


  • Document Type


  • Report Number


  • Volume No


  • Total Volume(s)


  • Country


  • Region

    East Asia and Pacific,

  • Disclosure Date


  • Disclosure Status


  • Doc Name

    COVID-19 G2P Cash-Transfer Payments : Case Study : Philippines

  • Keywords

    united states agency for international development; Payments for Goods and Services; micro finance institution; point of sale terminal; transaction account; financial inclusion; commercial banking; number of beneficiaries; safety net program; direct cash payment; types of transactions; national government agency; financial management service; memorandum of agreement; release of fund; conditional cash transfer; state of emergency; retail payment system; gross domestic product; demand deposit account; financial inclusion support; impact on health; risk of infection; social assistance program; delivery of payment; eligibility criterion; cash assistance; reporting requirement; business process; shared infrastructure; phone number; online application; several changes; Social Protection; financial product; network operator; business model; smart phone; data quality; digital channel; data privacy; funds flow; transfer network; transferring fund; benefit distribution; payment mechanism; rural bank; vulnerable household; internet connection; grievance redressal; multiple channels; public fund; data management; target system; payments delivery; cash benefit; banking sector; payment tool; several times; nationwide survey; program beneficiary; Financial Sector; service coverage; conversion process; pandemic situation; closure rule; low-income household; failed transaction; physical form; internet connectivity; household survey; high frequency; reporting procedure; official gazette; data confidentiality; reporting system; immediate relief; scale transfer; disadvantaged area; explicit provision; Beneficiary Registration; software developer; registration process; electronic transaction; emergency social; valid id; information campaign; emergency operation; fee structure; reconciliation process; financial technology; domestic remittance; retail store; shopping mall; distribution center; funds transfer; balance inquiry; bill payment; beneficiary household; information requirement; outbound calls; deposit insurance; reserve requirement; account maintenance; cross-border remittance; private bank; government deposit; government fund; ground experience; corporate account; account holder; driving license; real time; delivery mechanism; payment instrument; industry association; id documents; verification process; account opening; remittance company; cash liquidity; liquidity requirement; geographic location; demographic information; security concern; sustainable way; mobile money; digital economy; cashless transaction; several areas; minimum wage; in school; exclusion error; Indigenous Peoples; vulnerable group; cash grant; women's empowerment; household income; transparent manner; secure manner; socio-economic status; household level; total poverty; sensitive data; executive branch; application process; educational outcome; poor household; vulnerable person; social inclusion; local supply; benefit payment; Gender Equality; processing time; payment modality; child labor; dropout rate; transfer payment; important change; anecdotal evidence; target beneficiary; waiting time; vulnerable family; online platform; open bank; respective responsibility; clear rules; transfer transfer; disaster relief; social distance; opportunity cost; health perspective; vulnerable population; local knowledge; sensitive information



Official version of document (may contain signatures, etc)

  • Official PDF
  • TXT*
  • Total Downloads** :
  • Download Stats
  • *The text version is uncorrected OCR text and is included solely to benefit users with slow connectivity.


Cho,Yoonyoung Kawasoe,Yasuhiro Rodriguez,Ruth Reyes Valenzuela,Myra

COVID-19 G2P Cash-Transfer Payments : Case Study : Philippines (English). Washington, D.C. : World Bank Group.