POWERING THE GROWTH OF PHILIPPINE MICROENTERPRISES THROUGH INCLUSIVE DIGITAL FINANCE. FINTQ, the Financial Technology arm of PLDT and Smart’s Voyager Innovations, is throwing its full support behind the Department of Trade and Industry’s (DTI) Pondo sa Pagbabago at Pag-asenso (P3) program through its digital lending platform Lendr. Last April 19, FINTQ executives demonstrated to DTI officials how microentrepreneurs can apply for a loan from RadioWealth–one of the accredited conduits of DTI for the P3 program that is also one of FINTQ’s partners in the Lendr platform–through Lendr. Present during the presentation of the initiative to DTI Secretary Ramon Lopez (third from left) were Voyager Innovations President and CEO Orlando B. Vea (second from right), FINTQ Managing Director and KasamaKA Founder and Lead Convenor Lito Villanueva (rightmost), Small Business Corp. President Ma. Luna E. Cacanando (leftmost), DTI USEC Zenaida Maglaya (second from left), as well as three early beneficiaries of the P3 program (4th to 6th from left) Edgardo Waniwan, Angelyn Avila, and Judith Waniwan.

FINTQnologies Corp. (FINTQ)–the financial technology arm of Voyager Innovations–has rolled out an alternative channel for micro, small and medium enterprises (mSME) to access affordable credit through its award-winning digital lending platform, Lendr. 

This initiative is in collaboration with the government’s Pondo sa Pagbabago at Pag-asenso (P3) program under the Department of Trade and Industry. The P3 program is a financing initiative for mSMEs designed in response to President Rodrigo Duterte’s directive to replace “5-6” money lenders.

“We cannot overemphasize the importance of mSMEs in our economy. Yet, access to credit still remains very limited. The use of technology and innovation in creating more opportunities for them must be prioritized,” said Lito Villanueva, FINTQ Managing Director and KasamaKA Founder and Lead Convenor. Villanueva is also the chairman of the industry group FinTechAlliance.ph. 

“To show our support, we will conduct financial literacy caravans for mSMEs in partnership with DTI’s Negosyo Centers and GoNegosyo in Leyte, Occidental Mindoro, and Sarangani, the first three pilot provinces of the government’s P3 program,” he added. This will be undertaken through KasamaKA, FINTQ’s social advocacy for inclusive growth.

Villanueva noted that FINTQ through its digital lending platform Lendr will also offer on-site loan application assistance for mSMEs during these caravans. 

“Lendr allows microentrepreneurs to apply for business loans anytime anywhere and compare interest rates and other offers from among our partner bank and non-bank partners,” Villanueva said, adding: “Since Lendr is digital, mSMEs need not travel to go to branches or offices of lending companies to be able to access loans.”

Lendr is the country’s largest digital lending service covering 100% of provinces with over Php30 billion in loans released since it was launched in 2015. It extensive reach benefited the 20 poorest provinces accounting for 11% of loan transactions and 12% of loan volume.

It has registered double digit growth in the first quarter compared to the same period last year. It posted over 60% compounded annual growth rate. It now has almost a hundred bank and non-bank partner financing companies. On top of the traditional salary, personal, home and auto loan products, it offers mobile crop loan, medicine loan, mSME loan, Overseas Filipino loan, and truck and equipment loan, among others.

In response, DTI Secretary Ramon Lopez said:“At DTI, we always seek ways to improve the business environment for mSMEs and one aspect is providing immediate access to finance that is why President Duterte launched the P3 program. And now, having a technology partner that provides a digital lending platform like Lendr that is secure, efficient and easily accessible, presents more options to microenterprises with regard to their financial needs. 

For his part, Victor Belgar, Project Manager, Radiowealth Finance Co., Inc. said: “Digital platforms like Lendr accelerates our mission to provide financing to microenterprises. It makes the reach of financial inclusion so much wider and I must say, that ‘exponential,’ to describe Lendr’s impact to our business is an understatement.  The high influx of loan application via this digital channel compels us to level up with our backroom operations.” Radiowealth is one of accredited conduits of DTI for the P3 program that is also one of FINTQ’s partners in the Lendr platform. 

“Among our initiatives include our efforts to empower mSMEs, that is why we are continuously developing digital platforms and services to make Filipino entrepreneurs globally competitive in this day and age of technology,” said Orlando B. Vea, Voyager Innovations President and CEO.

FINTQ–the financial technology arm of Voyager Innovations–projects loans processed through digital platforms to grow faster as more borrowers find it convenient and lending companies benefit from lower costs.

This, as loan disbursements processed through Lendr, FINTQ’s digital lending platform, recorded a double-digit growth in the first quarter from the same period last year. This brings the total volume of loans booked and released through the platform to over Php30 billion since Lendr was launched in 2015. Lendr has posted over 60% compounded annual growth rate in loans booked.

Lendr’s total loan portfolio mainly comprised of salary, personal, microfinance, mSME, and agricultural loans.

“These encouraging results manifest Filipinos’ rapid digital adoption. This forms part of our metrics to leapfrog digital financial transactions to a minimum of 20 percent from the current one percent.  Lendr surely provides the impetus to provide alternative and affordable access to finance even in hard-to-reach areas in the country,” said Lito Villanueva, FINTQ Managing Director.

“Customers want a fast and easy access to money, anytime they need it, wherever they are. At the same time, we provide platforms for financial institutions, allowing them to go beyond their brick and mortar branches and tap a bigger market at a lower cost,” he added.

FINTQ is engaging more than 100 bank and non-bank institutions.

Millennials continue to dominate the digital lending market

In 2017, majority of Lendr’s borrowers comprised of the millennial market segment. In the first quarter of this year, this scenario remained as millennials are the ones who prefer digital platforms in terms of doing their financial transactions due to its convenience.

“Majority of those who have borrowed through Lendr are single, female, employed, and are the so-called millennials or those born from 1982 to 2004. Nearly a third of our borrowers work in the government sector and the customer service industry,” Villanueva shared.

He noted that seven out of 10 Lendr borrowers reside outside Metro Manila, signaling that even in an environment where there is a proliferation of bank branches in urban areas, consumers are shifting towards digital platforms that can provide faster and secure access to funds.

Lendr has the most expansive loan offerings from partner banks and financial institutions in the Philippines. On top of the traditional salary, personal, home and auto loan products, it offers mobile crop loan, medicine loan, mSME loan, Overseas Filipino loan, and truck and equipment loan, among others.

FINTQnologies Corp. is the leader in customer-centric, demand driven, evidence-based, and mobile-first digital financial innovations by way of engaging regulators, enabling enterprises, and empowering individuals. FINTQ– the financial technology arm of PLDT and Smart’s Voyager Innovations– is committed to accelerating universal digital access to finance at scale via pioneering financial technologies in growth and emerging markets. It is the financial technology arm of Voyager Innovations. To know more, visit http://www.fintq.com.

POWERING THE GROWTH OF PHILIPPINE MSMES THROUGH INCLUSIVE DIGITAL FINANCE.
FINTQ, the Financial Technology arm of PLDT and Smart’s Voyager Innovations, is throwing its full support behind the Department of Trade and Industry’s (DTI) Pondo sa Pagbabago at Pag-asenso (P3) program through its digital lending platform Lendr. Through Lendr, the reach of the program’s conduit financial institutions will be expanded nationwide because prospective borrowers and business lenders can easily apply for loans through partner banks online. Present during the presentation of the initiative to DTI Secretary Ramon Lopez (third from left) were Voyager Innovations President and CEO Orlando B. Vea (second from right), FINTQ Managing Director Lito Villanueva (rightmost), Small Business Corp. President Ma. Luna E. Cacanando (leftmost), DTI USEC Zenaida Maglaya (second from left), as well as three early beneficiaries of the P3 program– Edgardo Waniwan, Angelyn Avila, and Judith Waniwan.

FINTQnologies Corp. (FINTQ)–the financial technology arm of Voyager Innovations–has expressed its support for the government’s Pondo sa Pagbabago at Pag-asenso (P3) program through its forthcoming financial literacy caravans in the program’s first three pilot provinces.

“MSMEs are responsible for 35% of the gross domestic product of the country, providing work to around 60% of the total employed population. We know how they can further propel growth, thus we are one with the government in uplifting Filipino businesses,” said Lito Villanueva, FINTQ Managing Director.

“To show our support, we will conduct KasamaKA for MSMEs financial literacy caravans in Tacloban, Occidental Mindoro, and Sarangani, the first three pilot provinces of the government’s P3 program before it was made available nationwide in April 2017,” he added. KasamaKA is the umbrella financial inclusion program led by FINTQ in cooperation with partners.

“At DTI, we always seek ways to improve the business environment for SMEs and one aspect is providing access to finance that is why we launched the Pondo Para sa Pagbabago at Pag-asenso program. And now, having a technology partner like FINTQ that provides a digital lending platform like Lendr that is secure and easily accessible, presents more options to microenterprises with regard to their financial needs,” said DTI Secretary Ramon Lopez.

For his part, Victor Belgar, Project Manager, Radiowealth Finance Co., Inc. said: “Digital platforms like Lendr accelerates our mission to provide finance to microenterprises. It makes reach of financial inclusion so much wider and I must say, that ‘exponential,’ to describe our impact is an understatement.” Radiowealth is one of the accredited conduits of DTI for the P3 program that is also one of FINTQ’s partners in the Lendr platform.

The Department of Trade and Industry (DTI) and its microfinancing arm Small Business Corp. allocated Php1 billion for the P3 program that seeks to assist microentrepreneurs financially and enable them to grow their businesses. The agency has partnered with various bank and non-bank institutions to provide MSMEs better access to funds.

Villanueva noted that FINTQ through its digital lending platform Lendr will also offer on-site loan application assistance for MSMEs during these caravans.

“During these financial literacy caravans, we will also assist participating MSMEs to apply for loans on-site through Lendr, our digital lending platform, which is a marketplace where they can choose from our various bank and non-bank partners to apply for credit,” he added. “Since Lendr is digital, MSMEs need not travel to go to branches or offices of lending companies to be able to access loans.”

Through its Voyager DX program, Voyager Innovations will also offer other enabling platforms and services to MSMEs who will participate in these caravans. These include access to digital payments via PayMaya, digital commerce through TackThis! and digital marketing technologies via Hatch. As a whole, Voyager Innovations aims to provide digital and financial inclusion for both consumers and enterprises through its emerging market platforms.

“Among our initiatives include our efforts to empower MSMEs, that is why we are continuously developing digital platforms and services to make Filipino entrepreneurs globally competitive in this day and age of technology,” said Orlando B. Vea, Voyager Innovations President and CEO, adding: “We recently inaugurated DigiHub in our headquarters, which is a learning space for entrepreneurs.”

DigiHub is a physical facility in its Launchpad headquarters in Mandaluyong City that entrepreneurs can use as a space for consultation, mentoring, learning and sharing.

Lendr has the most expansive loan offerings from partner banks and financial institutions in the Philippines. On top of the traditional salary, personal, home and auto loan products, it offers mobile crop loan, medicine loan, mSME loan, Overseas Filipino loan, and truck and equipment loan, among others.

FINTQnologies Corp. is the leader in customer-centric, demand driven, evidence-based, and mobile-first digital financial innovations by way of engaging regulators, enabling enterprises, and empowering individuals. FINTQ– the financial technology arm of PLDT and Smart’s Voyager Innovations– is committed to accelerating universal digital access to finance at scale via pioneering financial technologies in growth and emerging markets. It is the financial technology arm of Voyager Innovations. To know more, visit http://www.fintq.com.

In Photo: Leaders from various tech companies, banks, and government agencies come together at the 10th Filipina Entrepreneurship Summit to celebrate Women’s month.

Financial technology or “FinTech” is already helping more women advance economically through easier access to payments, insurance, savings, investments, and loans.

“Financial inclusion is gender neutral, but we recognize the important role of women as head of households and drivers of microbusinesses. Pushing for financial inclusion is key in empowering women, especially Filipina entrepreneurs. Towards this end, KasamaKA is providing women with more opportunities in terms of better access to financial services ,” said FINTQ Managing Director Lito Villanueva at a panel during the 10th Filipina Entrepreneurship Summit organized by GoNegosyo.

Villanueva shared that about 64% of Lendr’s borrowers, FINTQ’s digital lending platform, are female. This reflects the data of the latest edition of the World Bank Global Findex, which revealed that the percentage of formal account ownership—including both bank accounts and mobile money wallet— in the country is still dominated by women at 37.9% than men (24.4%).

Having a full ‘financial armament’ is key to growing business

In particular, better access to financing is one of the core needs of women entrepreneurs in the country. Based on Bangko Sentral ng Pilipinas data, microenterprises constitute nearly 85 percent of bank microfinance loans as of end-September 2017. Majority of these microenterprises are owned by women.

Beyond financing, Villanueva underscored the need to having a full “financial armament” in growing one’s business.

“Women entrepreneurs should not only focus on having access to loans when growing their business, they should also know and have other financial products such as savings, insurance, and investments to ensure they have other sources of cash flow to expand their business,” he said.

He also pointed out that as a businesswoman, one should be keen on all details and aspects of the financial products they are availing. Villanueva emphasized the importance of thoroughly reading and understanding the terms and conditions for financing and to avail of services of reputable financial institutions.

FINTQ’s partners now number to over 70 bank and non-bank institutions. FINTQ is now working with CoopHub to make digital lending more accessible to over 26,000 cooperatives nationwide.

Lendr has the most expansive loan offerings. On top of mSME loans, it offers the traditional salary, personal, home and auto loan products, as well as, mobile crop loan, medicine loan, overseas Filipino loan, and truck and equipment loan, among others.

Meanwhile, it has partnered with over five insurance companies for its digital insurance initiative.

Growing movement for financial inclusion

To further empower Filipina entrepreneurs, particularly those in rural areas where there is limited access to banks, FINTQ through KasamaKA— a grassroots-based, self-help, and digital-enabled social intervention and last mile solution to promote financial literacy and inclusive growth— will be introducing a slew of programs this year, namely, KasamaKA Microsavings; KasamaKA Microinsurance; KasamaKA Lending via Lendr; and KasamaKA Microinvestments. Through these, Filipina entrepreneurs will be able to open  a deposit account for PHP20, get a three-month microinsurance for PHP25, or make an investment for PHP50.

During the conference, Villanueva also announced that women entrepreneurs attending the conference can avail of the free 1 million microinsurance policies to unbanked and underserved Filipinos across the more than 42,000 barangays nationwide from FINTQ. This is an initiative under the KasamaKA Ka-Barangay sa Kaunlaran, a capacity-building initiative in collaboration with Liga ng mga Barangay sa Pilipinas.

Voyager aims to include 30 million Filipinos in the formal financial system by 2020 through its digital platforms, which is in line with the National Strategy for Financial Inclusion.

Voyager Innovations—the digital innovations arm of PLDT and Smart Communications—has again exemplified excellence in its various public relations campaigns and initiatives, bringing home three trophies at the recently held 53rd Anvil Awards.

FINTQ’s PR campaign for KasamaKA—a grassroots-based, self-help, and digital-enabled social intervention and last mile solution to promote financial literacy and inclusive growth—bagged a Gold Anvil award. Meanwhile, PayMaya Philippines’ PR campaign for its product launches titled Building One Cashless Society with PayMaya and Voyager’s internal program for employees dubbed as Everyday is Launch Day: Voyager Group Occupies Launchpad both received a Silver Anvil Award.

“These awards are testaments that an effective strategic communications plan leads to positive social change and yields positive results for the business. We are honored that our programs were recognized by a prestigious organization like the Public Relations Society of the Philippines as it cements the effectiveness of the tools we create aimed to support the business and touch lives of the people in communities we serve,” said Nick Bautista Wilwayco, Associate Director and Head of PR and Communications (VOY) at Voyager Innovations.

The annual Anvil Awards organized by the Public Relations Society of the Philippines recognizes the best programs and tools that meet the highest PR standards. It is one of the most coveted prize in the Public Relations industry as entries are rigorously screened by seasoned PR practitioners in the country.