The Department of Finance (DOF) and the Land Bank of the Philippines (LANDBANK) have signed a Memorandum of Agreement (MOA) for the Government Purchase Card (GPC) Program that will facilitate a more streamlined and efficient payment method for the procurement of goods and services.
Under the agreement, authorized DOF employees will be provided with a LANDBANK Government Purchase Card to pay for eligible purchases, including travel and representation expenses; miscellaneous small-value purchases; hotel and lodging; computer software, services, and digital context; and fuel, automotive parts, and services, among others.
Finance Secretary Benjamin E. Diokno and LANDBANK President and CEO Cecilia C. Borromeo led the ceremonial signing on 06 December 2022 at the DOF Building in Manila. They were joined by Finance Undersecretary Bayani H. Agabin and LANDBANK Executive Vice President Liduvino S. Geron.
“The Government Purchase Card or GPC Program of LANDBANK will serve as an important tool that will eliminate procurement lead time, reduce procurement workload, facilitate quicker payments, and reduce administrative costs and time wasted in the liquidation process,” said Secretary Diokno.
For her part, LANDBANK President and CEO Borromeo said the GPC Program will further support DOF in improving operational efficiency and promoting transparency in the disbursement of public funds.
“We will continue to explore ways and meaningful initiatives in accelerating the country’s digital transformation journey for improved governance,” she added.
The GPC Program is a joint initiative of the Bureau of the Treasury (BTr), Department of Budget and Management (DBM), and LANDBANK which aims to promote a convenient, transparent and efficient payment process to further drive public digital financial management.
The program helps reduce cash handling by limiting the frequency and amount of cash advances, and shorten the liquidation period of obligations to suppliers of goods and services. It also enables government agencies to develop a database of financial information derived from the transaction records of purchasing card activities that can be used to improve overall financial management.
The DOF is the second agency to implement the GPC program, following its successful pilot implementation with the BTr and approval by the Bangko Sentral ng Pilipinas (BSP) for full implementation.