PERA opens door to time deposits

Filipinos saving for retirement now have another option as time deposits have been added to the list of investment products eligible under the Personal Equity and Retirement Account (PERA), according to the Bangko Sentral ng Pilipinas (BSP).

The BSP said the move expands the choices available to Filipinos who want to build retirement funds while taking advantage of government tax incentives under the country’s voluntary retirement savings program.

Under the latest PERA guidelines issued by the BSP on August 20, 2026, qualified products now include unit investment trust funds, stocks, real estate investment trusts, government securities and time deposits.

Banks that meet applicable BSP prudential requirements may offer PERA-eligible time deposits, but they must first secure accreditation from the Bureau of Internal Revenue and establish an arrangement with an accredited PERA administrator before accepting placements.

Unlike an ordinary time deposit, a PERA time deposit becomes part of a contributor’s PERA and may qualify for applicable tax incentives.

The BSP stressed that PERA time deposits remain bank deposits and continue to be governed by applicable banking regulations and Philippine Deposit Insurance Corporation deposit insurance rules.

BSP Deputy Governor Lyn Javier said the new option could make retirement planning more familiar and accessible to Filipinos who prefer traditional savings products.

“Retirement planning should be simple, accessible, and within reach of every Filipino. By introducing PERA time deposits, we are providing another practical option for individuals who want to build their retirement savings through a product they already understand and trust,” Javier said.

The inclusion of time deposits effectively gives PERA contributors another avenue for retirement savings, particularly those who may prefer a bank deposit-based product over market-linked investments such as stocks, investment funds or real estate investment trusts.