Filipino Ex-Pat Workers to Use Mobile Phones to Send Money Home

Philippines based bank, Metrobank has inked a deal with mobile payments vendor, Luup to enable overseas workers to send funds to their families back home. Transactions will be initiated by customers of Luup banks, processed through Luup and paid out, utilizing Metrobank's network of over 500 branches and over 1,100 ATMS across the country.

It is estimated that there are around two million Filipinos working in the Middle-East alone.

According to the Central Bank of the Philippines OFWs remittances from the Middle East amounted to upwards of US$2.5 billion in 2008. "This is an increase of 13.68 percent over 2007 numbers," said Richard S. So, Senior Vice President, Metrobank.

"Filipinos are savvy mobile users, and in general have adopted mobile payment technologies ahead of other markets, in order to make person-to-person payments and mobile top up transactions. With our new partnership with Luup, OFWs can now have a hassle-free and secure way of sending their remittances," he continued.

Metrobank has a consolidated network of over 500 domestic branches and 35 foreign branches, subsidiaries, and representative offices; 58 remittance tie-ups, and more than a thousand correspondent banks, with an international presence spanning 21 countries.

"With a mobile phone penetration rate of more than 75 percent last year - comprising close to 70 million mobile phone users in the Philippines that are adept with mobile phone payment applications, the Philippine expatriate market is ripe for international remittance services," said Morten Hofstad, Head of Business Development for Luup in the MENA region. "The convenience and security afforded by our solutions enable OFWs throughout the Middle East to send their regular remittances in a fast and secure way. Likewise, this new service is expedient especially where crisis or emergency situations are concerned."

Luup launched its services in the Middle East through a partnership with the National Bank of Abu Dhabi (NBAD) last year as well as with Deutsche Bank globally. Luup is currently in talks with other financial institutions to build similar partnerships aimed at facilitating mobile payments around the globe.

OFWs learn basic computer skills in London

At a time when internet technology has made communication with loved ones more easier, faster and cheaper many Filipinos working in the household sector in the United Kingdom such as domestic helpers, housekeepers and nannies have little or no knowledge at all in operating the computer.

Juvy Santiago, a Filipino overseas worker for almost a decade is one of them. She has not tried browsing the internet simply because she has dedicated herself to earn a living to fend for her family back home.

But her life is about to change.

Santiago is one of the attendees of the training in basic computer course organized by the Philippine Overseas and Labor Office (POLO) of the Philippine Embassy in London.

The course aims to provide basic knowledge in word, excel, power point and writing an email and chatting online, among others.

For Santiago, who has been hoping to acquire basic skills in using the computer, the program came at the right time.

“Malaking maitutulong nitong first learning namin sa embassy ng computer kasi doon kami matututo kung paano kami gumawa ng word, mag- type kami o kahit anumang document na kailangan naming gawin, pwede na naming isarili yun,” said Santiago, a housekeeper in London.

Santiago aims to use the internet as an alternative means of communicating with her family in the Philippines. She said she is looking forward to chat online with her kids which will help her in cutting down her telephone bills.

A total of 29 enrollees participated in the course who like Santiago, are working in the household sector and have very little or no knowledge of the use internet and very low computer literacy.

“The objective of course is to upgrade the skills of our OFWs especially those in the household sector--- the nannies, domestic helpers and others,” said Labor Attache Jainal ‘Jun’ Rasul of the Philippine Embassy’s labor office.

With the UK Home Office toughening up the laws on immigration for low-skilled migrant workers, Rasul said this is an opportunity that OFWs here should not pass up.

“We know for a fact that UK is skills-based and they are attracting migrants who are skilled or highly-skilled so this is the best time to invest in themselves in terms of education.”

The course is going to run for six consecutive Sundays and is conducted at the embassy in London. The POLO office is also offering other skills training such as basic English language course at the culmination of this project.