The Central Bank of the United Arab Emirates and the Bangko Sentral ng Pilipinas have signed a Memorandum of Understanding during a virtual ceremony to deepen financial infrastructure cooperation, enable seamless cross-border payments, and advance digital financial innovation.
The agreement was signed by Khaled Mohamed Balama, Governor of the CBUAE, and Dr Eli M. Remolona Jr, Governor of the BSP, marking a formal step toward expanded bilateral financial collaboration.
Under the MoU, both central banks will work on integrating their instant payment systems to facilitate faster and more efficient cross-border transactions. The plan also includes exploring the interlinking of national card switches and financial messaging systems to improve interoperability and streamline settlement processes.
The partnership further extends into emerging financial technologies. It covers cooperation on central bank digital currency development for both retail and institutional use cases, alongside collaboration in fintech areas such as open finance and digital assets. The agreement also highlights joint efforts to support the growth of Islamic banking and finance.
Officials from both sides described the initiative as a strategic move to enhance economic ties and modernise payment ecosystems. It is expected to improve operational efficiency, reduce transaction friction, and strengthen financial connectivity between the UAE and the Philippines.
For the Philippines, the BSP emphasised potential benefits for overseas Filipino workers in the UAE, pointing to improved remittance channels and more efficient financial services for families back home as key outcomes of the partnership.
News Source: Emirates News Agency
