Apple Pay and Google Pay Can Enter Philippines Without BSP Registration, but Banks Must Enable Access

BSP clears a regulatory step, with launch still dependent on banks

Apple Pay and Google Pay can launch in the Philippines without registering as Operators of Payment Systems, according to the Bangko Sentral ng Pilipinas (BSP). As of August 4, 2025, however, making the services available to Filipino customers still depends on local banks and electronic money issuers connecting their systems to the platforms.

The central bank's decision follows months of discussions with Apple and Google about the requirements for entering the Philippine market. Its reasoning rests on the services the companies plan to provide: neither platform would hold money for Philippine users or directly process their funds. Instead, they would supply technology that connects customers to existing financial institutions.

For consumers, the proposed arrangement means using a smartphone or smartwatch to pay with an existing debit card, credit card or supported electronic wallet account. The bank or electronic money provider would continue to handle the money behind the transaction.

The distinction matters in a country where digital payments already accounted for 57.4% of the volume of monthly retail transactions and 59% of their value in 2024. Apple Pay and Google Pay would enter a market already shaped by local services such as GCash and Maya, rather than introduce digital payments to consumers for the first time.

The BSP clarification removes the need for the two technology companies to complete OPS registration for this operating model. Launch dates, participating Philippine banks and the accounts that customers would be able to connect had not been specified. Those details determine who could actually use the services when they become available.

Why the BSP treats the platforms as technology providers

BSP Deputy Governor Mamerto Tangonan said the planned activities of Apple Pay and Google Pay fall outside the category requiring registration as an Operator of Payment Systems, or OPS. The central bank's assessment turns on whether a company holds or processes money on behalf of users.

Tangonan explained the decision in these terms:

We deemed them not to be an OPS because their activity is not an OPS activity.

Apple Pay and Google Pay would act as technology service providers, or TSPs, under the proposed Philippine arrangement. Their role would be to securely pass payment credentials and instructions between a customer's device and the financial institution handling the payment.

No money would pass through the platforms themselves, and neither would operate a wallet that holds a customer's balance under this model. A person paying through a linked card would still draw on the account or credit facility supplied by the card issuer.

The BSP's approach separates the technology used to start a payment from the financial service that completes it. The bank or electronic money issuer remains responsible for moving the money and meeting the central bank's requirements.

How paying with a phone or watch would work

Customers would add eligible debit cards, credit cards or electronic wallet accounts to a smartphone or smartwatch. They could then tap the device at a terminal equipped with near-field communication, usually called NFC. This technology allows a device and a nearby payment reader to exchange information over a short distance.

Shops, public transport services and other points of sale could accept such payments where suitable NFC terminals and payment arrangements are available. The customer's bank or electronic money provider would process the transaction, while Apple Pay or Google Pay would act as the secure channel for the payment credentials.

Users could continue relying on their existing financial accounts instead of opening a new account simply to use the payment interface. Whether a particular card or wallet could be added would depend on its provider supporting the service.

Contactless payments offer a quick way to pay without handling cash or making physical contact with a terminal. Their appeal also includes hygiene and the convenience of using a device that many customers already carry. Growing merchant support for NFC would help determine how useful that option becomes in everyday purchases.

Local financial institutions remain accountable

Philippine banks and electronic money issuers would retain responsibility for the safety and integrity of transactions made through their accounts. They must assess the technology providers they work with and ensure that connections to Apple Pay or Google Pay meet regulatory and security standards.

Tangonan described the financial institution's responsibility to the central bank:

It is up to the financial institution to assess these providers, because the entity responsible to the BSP is the financial institution. If anything happens, the accountable party to the BSP is the payment service provider (PSP).

A payment service provider, or PSP, is the institution supplying the underlying payment service. Under this arrangement, the customer's main financial relationship remains with the bank or electronic wallet provider, even when an Apple or Google interface is used at the checkout.

Consumers experiencing a transaction problem would therefore look to the relevant local financial institution for resolution. That institution would also remain accountable to the BSP for regulatory compliance.

The central bank's approach supports its broader aim of encouraging innovation and competition while maintaining consumer protection and financial stability through supervision of the institutions that handle payments.

Why services can face different rules in different countries

Apple Pay and Google Pay do not necessarily provide the same functions in every market. In some countries, services associated with these platforms include wallets that can hold balances, accept cash deposits into an account and support transfers between users. Activities involving the holding or handling of money bring registration requirements and stricter regulatory oversight.

The Philippine proposal is narrower. Apple Pay and Google Pay would connect people to their banks or electronic money providers without keeping funds themselves. The BSP therefore treats them as providers of payment technology rather than financial intermediaries holding customer money.

Regulation follows the activity being carried out locally. The absence of a balance holding feature is central to the BSP's assessment of the proposed Philippine services. Customers would use a different way to access an existing payment account, while the institution behind that account would retain its financial responsibilities.

A growing digital payments market

Digital payments represented 57.4% of the total volume of monthly retail transactions in the Philippines in 2024, according to BSP figures. They accounted for 59% of transaction value. In simple terms, more than half of retail payments were digital both by the number of transactions and by the amount of money involved.

The value share was 1.6 percentage points higher than the volume share. These measures describe different aspects of adoption: volume counts payments, while value measures how much money those payments represent.

The figures exceeded targets set under the Philippine Development Plan 2023-2028 and reflected a substantial change in payment habits over the preceding decade.

BSP Governor Eli Remolona Jr. described the growth in digital payments as reflecting greater use of digital financial services and confidence in them:

reflects the continued shift toward digital channels and the growing trust of Filipinos in using digital financial services.

GCash and Maya have played a major role in that change. Their services include payments using QR codes, online transfers and some NFC features for Android users. QR payments use a code scanned by a phone, while NFC payments rely on bringing a device close to a compatible reader.

Smartphone use provides another part of the market context. Usage reached 73.7% in 2023, with a projection of 97% by 2029. Government efforts to promote digital transactions and financial inclusion, the shift toward contactless payments during the COVID-19 pandemic, and wider merchant acceptance have also helped drive adoption.

Businesses ranging from large retailers to small vendors are increasingly equipped to accept digital payments. That expansion gives consumers more places to use digital services, although the equipment and payment methods accepted vary by merchant.

The dates and figures behind the decision

The BSP clarification fits into a longer period of growth in digital payments. The dates also separate measured adoption from future projections and policy targets.

• 2023: Smartphone usage in the Philippines reached 73.7%.
• 2023-2028: The Philippine Development Plan set digital payment targets that the 2024 figures surpassed.
• 2024: Digital payments reached 57.4% of monthly retail transaction volume and 59% of transaction value.
• August 4, 2025: Apple Pay and Google Pay could proceed without OPS registration under the operating model described by the BSP, while rollout depended on local partnerships.
• 2029: Smartphone usage was projected to reach 97%.

The move from the 2023 smartphone usage figure to the 2029 projection would amount to 23.3 percentage points. Wider access to smartphones could expand the potential audience for payments made through mobile devices, alongside the bank participation and merchant acceptance needed to use them.

What banks must do before customers can pay

Local banks and electronic money issuers must decide whether to partner with Apple Pay and Google Pay and enable their accounts or cards. The central bank's registration decision leaves that commercial and technical work with the institutions that would provide the underlying payment service.

Card issuers need to connect their systems to the Apple Pay or Google Pay framework. The process can involve technical upgrades, staff training and negotiations over commercial terms. Security, compliance and customer support arrangements also need to be ready.

The bank integration requirements place responsibility for enabling access with Philippine institutions: "The responsibility of enabling Apple Pay and Google Pay now rests with local banks. The BSP said banks as local payment service providers must partner with the tech giants to integrate their card-issuing systems with the Apple Pay or Google Pay framework."

Some banks may proceed cautiously because they remain responsible for compliance and risk management. Customers could consequently face different levels of access depending on which institution issued their card or manages their electronic money account.

Bank readiness is only one part of the process. Merchants need suitable terminals, and customers unfamiliar with mobile payments may need guidance on adding their accounts and completing transactions. A supported device, an eligible account and a merchant accepting the payment method all need to come together.

How the Philippines compares with nearby markets

Apple Pay was already available in Malaysia and Vietnam, where major banks had enabled it for their customers. Google Pay, through Google Wallet, was present in Malaysia, Vietnam and Thailand, although functions varied by bank and region.

Support in a country can still mean access through only a limited number of banks. Apple Pay had not officially launched in Thailand despite strong consumer interest. These regional differences show why national availability and support for a particular customer's card are separate practical steps.

The Philippines has its own established pattern of digital payments, shaped by the strong presence of GCash and Maya. Both already provide QR payments and some NFC features, particularly for Android users.

Apple Pay and Google Pay would add globally recognised options to that mix. Their arrival could improve connections between payment services, appeal to more affluent users and make purchases easier for international visitors accustomed to paying through these platforms.

Visitors and overseas Filipinos returning home could benefit from a familiar payment experience at participating merchants. Acceptance would still depend on the cards, terminals and services supported in each transaction.

What consumers could gain, and what could limit access

Apple Pay and Google Pay offer tokenization and biometric authentication as part of their security approach. Tokenization substitutes a digital token for sensitive card details, reducing exposure of the underlying card information. Biometric authentication uses a physical characteristic, such as a fingerprint or face, to help verify the person making a payment.

Device specific transaction codes provide another security measure. Together, these features can reduce the risk of card data theft, fraud and data breaches while allowing customers to use existing financial accounts through their devices.

Consumers would gain more choice between local payment services and global platforms. The broad international acceptance of Apple Pay and Google Pay could also make them useful for travel, while increased competition may encourage local banks and electronic wallet providers to improve services and develop additional features.

Access would depend on practical conditions. A bank that has not enabled a card cannot offer its customers the same experience as a participating issuer. A merchant without an appropriate NFC terminal cannot accept a tap payment through that route. Customers new to digital payments may also need help with setup and everyday use.

The BSP's support for innovation and the expansion of the Philippine digital payment market provide a basis for addressing those challenges over time. For customers, the immediate change is that the registration requirement has been clarified; usable access depends on banks, electronic money issuers and merchants completing the next steps.

Key Points

• The BSP says Apple Pay and Google Pay do not need OPS registration for their proposed Philippine operating model because they would not hold or directly process customer funds.
• The platforms would connect supported cards or electronic wallet accounts to payments made through smartphones and smartwatches.
• Local banks and electronic money issuers remain responsible for transaction safety, compliance and resolving customer payment problems.
• Digital payments accounted for 57.4% of monthly retail transaction volume and 59% of transaction value in 2024.
• Launch depends on partnerships, technical integration, supported accounts and merchant acceptance.
• As of August 4, 2025, launch dates and participating Philippine institutions had not been specified.