Partnership aims to drive financial inclusion by enabling rural banks and MFIs to offer digital banking services
SINGAPORE – Higala Group Inc., an inclusive instant payments platform operator, and Rizal Commercial Banking Corp. (RCBC) have joined forces to operationalize SynerFi, an open payments platform that expands digital financial access to the unserved and underserved sectors in the Philippines.
SynerFi was created to help rural banks and microfinance institutions (MFIs) offer their customers digital transactions through InstaPay, bringing banking services directly to their communities and fostering broader financial inclusion.
Traditionally, many rural and community banks have been excluded from the digital financial ecosystem due to regulatory and technological constraints. SynerFi changes this by providing these institutions with a seamless way to offer digital services to their customers and clients.
Under the partnership, Higala will provide the technology that powers SynerFi, enabling rural banks and microfinance institutions to connect seamlessly to a digital payments network. RCBC will act as the sponsor platform bank and manage the essential regulatory requirements, such as compliance, clearing, and settlement.
“SynerFi brings digital services within reach for rural banks and MFIs that have traditionally been left out of the payments ecosystem,” Higala CEO Vice Catudio said. “Through SynerFi, we are reducing entry barriers and ensuring these institutions can thrive in InstaPay. Expanding financial access allows them to empower more Filipinos with the tools needed for economic participation and progress.”
By connecting local banks and MFIs to InstaPay, SynerFi allows these smaller, community-based financial institutions to offer faster, more affordable digital transactions, such as sending money, paying bills, and buying or selling goods online.
This means customers can access convenient financial services in their communities without needing to travel or rely on cash. Ultimately, SynerFi empowers more Filipinos to manage their finances digitally, helping them save time, reduce costs, and improve their financial well-being.
“RCBC’s collaboration with Higala through its SynerFi would further advance accessible and inclusive payment channels as pillars of sustainable finance, creating and opening doors of opportunities for millions of people nationwide,” RCBC Executive Vice President and Chief Innovations and Inclusion Officer Lito Villanueva said.
The collaboration addresses a critical gap in the current financial landscape. To date, only three percent of the total volume of digital transactions are interoperable across participating financial institutions. Only five percent of over 360 rural banks participate in InstaPay, while all 2,400 credit cooperatives and 4,300 NGO-MFIs are excluded.
Allowing smaller banks and MFIs to participate in the broader payments network facilitates greater access to digital financial services. It reduces costs for end-users in previously unserved and underserved areas, making digital payments more inclusive, affordable, and accessible.
The initiative is also supported by Higala investor and sustainable development firm Chemonics International, which brings a wealth of expertise in fostering resilient, inclusive growth in underserved communities worldwide.
“SynerFi is a powerful tool for sustainable development, which is at the core of everything we do at Chemonics International. Together with our partners, we will move towards further reducing onramp barriers for all financial institutions looking to be part of the InstaPay network and drive true inclusion to unserved and underserved areas in the Philippines,” Chemonics International President and CEO Jamey Butcher said.
