The International Labour Organization and its partners are developing a mobile learning and behavioural nudge system to help micro, small and medium-sized enterprises (MSMEs) manage digital borrowing, avoid fraud and strengthen financial decision-making.
MANILA (ILO News) — The International Labour Organization (ILO) and its partners under the United Nations Joint Programme on Inclusive, Competitive and Responsible Digital Philippines (Digital PINAS) are preparing for the pilot rollout of a mobile phone-based financial education micro-learning system to help micro, small, and medium-sized enterprises navigate digital lending, online fraud and responsible borrowing.
The initiative comes as digital financing services continue to expand rapidly across the country. Cashless retail transactions reached 57.4 per cent in 2024, while digital lending application users are estimated at almost 68 million nationwide. At the same time, the Philippines recorded the second highest digital fraud rate, according to industry data.
To address these risks, the ILO developed mobile-first learning modules that deliver short lessons directly to users’ mobile phones at key financial decision points, including loan onboarding time, in preparation for transition to digital wages and paydays.
“Financial education is most effective when it reaches people at the moment decisions are being made, said Hideki Kagohashi, Enterprise Development Specialist of the ILO Country Office for the Philippines. “By using platforms that entrepreneurs already use every day, we can help make responsible borrowing and digital financial safety more practical and accessible.”
The modules combine financial planning, budgeting and responsible credit management with newer modules focused on fraud prevention and digital wage payments.
The platform also introduces behavioural learning approaches designed to improve engagement among micro, small and medium-sized enterprises (MSMEs), informal entrepreneurs, farmers, fisherfolks, and first-time borrowers who may face barriers to attending traditional classroom or formal training.
“The aim is to move from one-time information sessions to continuous learning and reinforcement,” Kagohashi said. “This approach recognizes that financial decisions happen over time and often under financial pressure.”
The initiative is designed to supplement and enhance the evolving digital financial ecosystem involving regulators, financial institutions, employers’ organizations, digital technology providers and MSME support networks.
In the context of the National Strategy for Financial Education (NSFE) launch expected later this year, this collaboration aims to address novel elements of the strategy such as just-in-time intervention at the "teachable moments," trust channel delivery, simplicity and practicality over complexity, peer proof, and the MSMEs as a key target sector.
Under the model, the ILO serves as the content authority, while BOOST Technologies operates the learning platform. Rural banks, cooperatives and microfinance institutions are expected to play a key role in integrating the modules into borrower onboarding processes.
The regulatory role of BSP and the Financial Inclusion Steering Committee (FISC) is critical to achieve NSFE's deliberate shift in its primary objective from simply improving financial literacy scores to strengthening the actual financial health and resilience of Filipinos.
The direction of the platform was refined during a Hybrid stakeholder review convened by the ILO in March 2026, where government agencies, MSMEs and development partners recommended expanding language accessibility, strengthening inclusion measures and improving outreach to vulnerable sectors, including returning Overseas Filipino Workers.
The ILO and Digital PINAS are currently mapping institutional partners for pilot implementation and broader nationwide scalability as part of wider efforts to support MSME digitalization and financial inclusion in the Philippines.