Partnership to integrate BDO’s extensive biller network with Palawan’s 3,500 branches and the PalawanPay e-wallet, targeting the “last mile” of financial consumers.
In a move to bridge the gap between traditional banking and the cash-reliant economy, BDO Unibank, Inc. and the Palawan Group of Companies have formalized a strategic partnership aimed at streamlining nationwide payments and collections.
The collaboration positions Palawan Group’s physical network and its digital arm, PalawanPay, as key channels for BDO’s payment services. This shall allow BDO’s corporate billers — spanning utilities, telecommunications, and government agencies — to accept payments over-the-counter at Palawan branches or digitally via the PalawanPay app.
Bridging the ‘bricktech’ gap
Karlo M. Castro, President and CEO of Palawan Group (IMAGE: Palawan Group)
For many Filipinos in provincial and underserved areas, physical touchpoints remain the primary way to conduct financial business.
By onboarding Palawan Group as its first partner for this initiative, BDO is effectively extending its reach far beyond its own branch doors.
“Many of our kababayans still rely on physical touchpoints for their daily transactions, and this partnership ensures they are not left behind as financial services continue to evolve,” said Karlo M. Castro, President and CEO of Palawan Group.
The “bricktech” strategy — which blends physical branches with digital capabilities — is central to this rollout. Palawan Group currently operates over 3,500 branches and boasts a digital user base of over 23 million PalawanPay users.
Efficiency for corporate billers
Executives from Palawan Group and BDO strike a pose after formalizing their strategic partnership, launching a collaboration to deliver faster, more convenient financial services to Filipinos nationwide.
The partnership isn’t just about consumer convenience; it’s a strategic play for BDO’s cash management services. By leveraging Palawan’s infrastructure, BDO aims to:
- Reduce transaction bottlenecks for high-volume billers.
- Streamline remittances for corporate partners.
- Offer weekend and holiday access, as many Palawan branches operate outside standard banking hours.
Carlo Nazareno, Senior Vice President and Head of Cash Management Services at BDO, noted that the bank brings a diverse portfolio of sectors to the table, including education and government. “Palawan Group customers will now have access to a broader range of bills payment options, making everyday transactions easier,” he added.
Serving the last mile
Third Librea, President and CEO of PalawanPay (IMAGE: Palawan Group)
With the Bangko Sentral ng Pilipinas (BSP) pushing for greater financial inclusion, this partnership highlights how traditional banks and non-bank financial institutions (NBFIs) are increasingly co-dependent.
Third Librea, President and CEO of PalawanPay, described the e-wallet as the “digital bridge” in this ecosystem. “This collaboration enables faster, more inclusive payment solutions by seamlessly integrating physical access with digital capability,” Librea said.
As digital banking adoption grows, the ability to serve the “last mile” — those in areas with limited bank presence — remains a critical frontier for the Philippine fintech landscape.
