BSP finalizing prudential requirements for digital banksIn a draft circular, the regulator said digital banks would be subject to all prudential requirements but not limited to corporate governance, risk management particularly on information technology and cybersecurity as well as outsourcing and consumer protection. Under corporate governance, the central bank said digital banks that are part of conglomerates should also constitute a related third party committee. The provisions will not apply to digital banks that are subsidiaries of universal and big banks. The regulator also intends to require existing banks that already meet the definition of a digital bank to convert their existing banking license to digital banking license. The central bank has granted digital banking licenses to Overseas Filipino Bank of state-run Land Bank of the Philippines, Tonik Digital Bank, UNObank, Union Digital Bank of Aboitiz-led Union Bank of the Philippines, GOtyme – a joint venture between the Gokongwei Group and Singapore-based digital bank Tyme, and Maya Bank of PLDT’s Voyager Innovations and PayMaya Philippines.

Source: Philippine Star October 06, 2021 15:56 UTC