Globe Telecom, its FinTech startup Mynt and micro-financial institution Cebuana Lhuillier have inked a memorandum of agreement that will pave the way for several initiatives combining the products and services of the three companies in a bid to further advance financial inclusion in the Philippines.
Most of the initiatives planned under the agreement involve GCash, a micro-payment service operated by Mynt subsidiary G-Xchange.
Already commercially available, one of the projects allows GCash customers to perform cash-in and cash-out transactions in any of Cebuana Lhuillier’s 1,800 branches nationwide.
Also being developed are systems that would enable GCash accounts to submit payments for Fuse loans and accept proceeds of international remittance.
Other projects in the works include the vice-versa conversion of rewards points under the loyalty programs of Globe and Cebuana Lhuillier, cross-selling of Cebuana Lhuillier’s microinsurance product, development of donation channels for Cebuana Lhuillier’s chosen beneficiaries, real-time posting of Globe Bills, reselling of Globe AMAX (a mass market postpaid product) and other innovations that that would make financial services more conveniently available.
In addition to the commercially available products and services, the partnership will also yield business-to-business solutions and other initiatives catering to internal stakeholders.
“The idea is to disrupt the traditional banking system of having to personally go to a bank, fill out forms, fall in line, and pay for bills or deposit money,” said Globe president and CEO Ernest Cu. “This initiative will create an avenue for the companies to leverage on each other’s strengths and capabilities to create a better financial system for the consumers.”
Cebuana Lhuillier president & CEO Jean Henri Lhuillier stated, “This undertaking is a great opportunity to address the financial concerns of many Filipinos, especially those in unbanked and underbanked communities which is very aligned to what we do as a company. I am glad that Cebuana Lhuillier, together with Globe and Mynt, is taking this big step to revolutionize the way we serve our mutual clients.”
During the official announcement of the partnership, all three companies emphasized the need for innovative offerings, the value of convergence, and the importance of technology in order to achieve financial inclusion.