In a bid to make itself more competitive and keep abreast with the fast changing technological advancements in the banking industry, PostBank, has inked a memorandum of agreement (MOA) with Mohur Inc., one of the fastest rising Financial Technology (FinTech) Companies in the country.
With the MOA, PostBank, the country’s oldest government bank, is now embracing innovative digital solutions to better serve its existing and future customers, particularly overseas Filipino workers (OFWs), Small and Medium Enterprises (SMEs) and ‘unbanked’ Filipinos in rural areas.
Mohur is a Remittance Platform Provider registered with the Bangko Sentral ng Pilipinas (BSP) and Anti-Money Laundering Council (AMLC) while PostBank, formerly known as Philippine Postal Bank, is in the process of becoming an OFW Bank, once acquired by Landbank of the Philippines, the country's largest government bank, as it seeks approval from Securities and Exchange Commission (SEC), Monetary Board (MB) and BSP.
With the recently-signed MOA, PostBank was actually preparing for its migration from a simple thrift bank serving the mostly unbanked sectors and areas to a multi-functioning financing institution that will also cater to the needs of more than 10 million OFWs and their families.
Landbank FVP for Remittance detailed as Officer in Charge of PostBank Rene G. Eje has expressed confidence that the MOA would enhance their profile as they seek to fulfill their mandate to serve a wider base of clienteles but with the same purpose of spurring economic developments and activities especially in the countryside.
“This MOA could not have come at a more appropriate time. For the longest time, PostBank has been finding ways on how we can effectively utilize our natural organizational advantage over our competitors,” Eje said, adding:
“With this MOA and Mohur’s financial technologies developed by former OFWs, we have reasons to believe that we will become a major industry player in the soonest time possible especially as we prepare to also serve our more than 10 million OFWs and their families.”
PostBank will use Mohur's copyrighted computer programs built around Remittance and AML Risk Management System, PostBank VP and Branch Banking Group Head Maximo V. Estrada said.
Mohur CEO Eduardo L. Burgos Jr. said that they were thankful that PostBank has given them the chance to share in the bank’s mission of improving the people’s lives especially those living in the countryside.
“Both Mohur and PostBank share the same vision of seeing a new and more prosperous Philippines and this we can do by empowering our countrymen especially OFWs in managing their finances while still catering to the 'unbanked' Filipinos in rural areas,” Burgos, a former diplomat, said.
Burgos said Mohur intends to “maximize the technology to the fullest” yet compliant to strict financial regulations on Anti-Money Laundering, Know-Your-Customers, Data Protection and Consumer Protection among others.
Mohur is seeking an audience with Anti-Money Laundering Council (AMLC) to present its innovative digital solutions that will be used by Postbank, according to Burgos, who belongs to a family of journalists including the country’s press freedom icon Jose G. Burgos Jr.
Currently, Mohur's products are being used by several remittance and retail companies like Al Bader Exchange, ZOOM / ENOC / EPPCO, Jollibee, Red Ribbon, Savers Appliances, Holland Tulips and Goldilocks among others.
ENOC or Emirates National Oil Company, owned by Dubai Government, is the operator of ZOOM, a chain of convenience stores in United Arab Emirates, serving more than 46 million customers every year.
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