TWENTIETH CONGRESS OF THE REPUBLIC OF THE PHILIPPINES JUL -7 11:58 First Regular Session SENATE ALCE S. No. Introduced by Senator Ronald "Bato" Dela Rosa AN ACT ENHANCING THE FINANCIAL LITERACY OF OVERSEAS FILIPINO WORKERS (OFWS), AND FOR OTHER PURPOSES EXPLANATORY NOTE The Philippine Statistics Authority (PSA) reported on September 13, 2024 that about 2.16 million Filipinos worked abroad from April to September 2023. These Overseas Filipino Workers (OFWs) are the country's modern-day heroes. They not only boost the Philippines' economy through remittances but are figures of resilience. They endure significant personal sacrifices while working under horrible working conditions to support their families back home. With their hard-earned income, OFWs are seen as attractive targets by scammers and fraudulent schemes. OFWs are particularly at risk due to their significant earnings and frequent internet use to find financial opportunities, often leading them to become prime targets for scammers. I Last April 23, 2025, the Department of Migrant Workers (DMW) issued a warning to OFWs urging them to be vigilant against loan scams. Since then DMW has ramped up its efforts to protect OFWs from falling victim to lending financing companies proliferating online.? 1 https://cebudailynews.inquirer.net/607233/ofws-teachers-targeted-by-loan-scams-sec-cebu-warns 2 https://www.pna.gov.ph/articles/1248596
As stated in the 1987 Philippine Constitution, it is the responsibility and duty of the State to ensure that the rights of Filipino workers are protected and their welfare promoted, wherever they maybe. This mandate extends to our OFWs. To give protection to our OFWs, this bill aims to safeguard their financial well- being by mandating free and accessible financial literacy training. The proposed measure aims to empower OFWs with the knowledge and tools to make informed financial decisions and avoid financial exploitation. It also promotes responsible financial behavior that can lead to a more financially secure future for them and their families. Let this bill be part of the government commitment to protect the rights and promote the welfare of OFWs-not just while they are abroad, but also in securing their long-term economic well-being. For the above reasons, the passage of this bill is earnestly sought. RONALD "BATO" DELA ROSA
TWENTIETH CONGRESS OF THE REPUBLIC OF THE PHILIPPINES 25 JUL -7 A11:58 First Regular Session RE E SENATE S. No.. Introduced by Senator Ronald "Bato" Dela Rosa AN ACT ENHANCING THE FINANCIAL LITERACY OF OVERSEAS FILIPINO WORKERS (OFWS), AND FOR OTHER PURPOSES Be it enacted by the Senate and the House of Representatives of the Philippines in Congress assembled:
Section 1. Short Title. - This Act shall be known as the "OFWs Financial Literacy
Enhancement Act"
Sec. 2. Declaration of Policy. - The State recognizes the valuable contributions
of Overseas Filipino Workers (OFWs) to the national economy through their foreign exchange remittances. As such the State shall take appropriate measures to protect and ensure OFWs' financial and economic well-being by promoting and providing mandatory financial literacy programs that will educate, train and provide them with necessary knowledge and skills to protect their earnings, resources, investments, remittances and to manage their debts, credits and other financial transactions.
Sec. 3. Mandatory Financial Literacy Training Seminar. - All OFWs shall undergo
mandatory financial literacy orientation seminars, which shall be an integral part of the Pre-Departure Orientation Seminar (PDOS). An OFW who enters a new contract shall likewise be required to undergo Post-Arrival Training Seminars (PATS) on financial literacy within a reasonable time from their arrival in the country of destination. Financial literacy trainings may also be incorporated into Pre-Migration Orientation Seminars (PMOS), OFW family and children's circles learning sessions, and
1 other training programs under the Department of Migrant Workers (DMW) and other relevant agencies mandated to protect the welfare of OFWs. Furthermore, to ensure 3 a holistic approach to financial management within OFW households, financial literacy training shall likewise be extended to the immediate family members and dependents of OFWs in the Philippines, who are involved in the management of remittances and family finances, through relevant learning sessions or online modules.
Sec. 4. Participating Agencies. - The PDOS and PATS shall be primarily
8 conducted by the DMW, as the lead agency, in coordination with the Department of 9 Finance (DOF), the Overseas Workers Welfare Administration (OWWA), and 10 accredited PDOS providers across the country, including the embassies or consulates, in the country of destination. As lead agency, the DMW, in coordination with DOF, Bangko Sentral ng Pilipinas OWWA, Department of Information and Communications Technology (DICT) and Securities and Exchange Commission (SEC), is tasked to: 1. Formulate training modules on financial literacy, which shall be regularly reviewed and updated annually to ensure their relevance, accuracy, and effectiveness in addressing evolving financial landscapes, new products, and emerging scams; 2. Initiate and conduct training programs on financial management and responsibility; 3. Apprise OFWs on, among others, the advantages and benefits of financial opportunities; 4. Ensure the accessibility of qualified online financial and economic advisors and/or counselors; and 5. Disseminate knowledge-expanding activities that promote financial literacy among OFWs and their dependents. The DMW, in coordination with the aforementioned agencies, shall establish and maintain a centralized online portal or platform readily accessible to OFWs and their dependents, which shall serve as a comprehensive hub for verified financial literacy modules, government advisories, legitimate investment opportunities, and a directory of accredited financial advisors and relevant support services.
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Sec. 5. Free Financial Literacy Training Programs. - Training programs
undertaken under this Act shall be free of charge. The DMW, in coordination with the relevant participating agencies, shall educate OFws on how to protect their earnings, savings, and investments, with emphasis on how to prioritize savings, manage their income and debts, and use their remittances for productive and sustainable purposes to futureproof their hard-earned money. Financial literacy programs shall include lectures and discussions on topics such as financial planning, saving and budgeting, debt management, financial products, 10 such as stocks, bonds, insurance, mutual funds, digital financial literacy, cyberhygiene, data integrity, fraud and scam prevention, financial consumer protection, financial patterns, practices and culture of the country of destination, government-backed investment opportunities tailored for OFWs and other topics which may be deemed relevant by the concerned government agencies.
Sec. 6. Penalties and Administrative Liabilities. - Any unjustifiable refusal by a
government official or personnel tasked under this Act to provide financial literacy training or seminar shall be punished with a fine of at least Fifty thousand pesos (PHP 50,000.00) to One hundred thousand pesos (PHP 100,000.00), without prejudice to possible administrative sanctions which may be imposed under existing laws, ranging from reprimand, suspension from office or dismissal from service, depending on the severity and frequency of such inaction or violation.
Sec. 7. Implementing Rules and Regulations. - The Secretary of the DMW, in
consultation with the Secretary of the DOF, the Governor of the BSP, the Administrator of OWWA, together with the heads of other relevant government agencies, shall within ninety (90) days from the approval of this Act, promulgate the rules and regulations to effectively implement the provisions of this Act.
Sec. 8. Separability Clause. -If any provision of this Act is held invalid or
unconstitutional, the remaining parts or provisions not affected shall remain in full force and effect.
Sec. 9. Repealing Clause. - All laws, decrees, executive orders, proclamations,
rules, and regulations, or parts thereof, inconsistent with this Act, are hereby repealed or modified accordingly.
Sec. 10. Effectivity. -This Act shall take effect fifteen (15) days after its
publication in the Official Gazette or in a newspaper of general circulation. Approved,