Fintech adoption rate to hit 80%

MANILA, Philippines —  The adoption of financial technology services through mobile applications in the Philippines is expected to reach almost 80 percent by yearend as more Filipinos ride on the digital wave.

A recent analysis by consumer finance firm Digido showed that the fintech adoption rate among Filipinos aged 15 and above will hit 79.5 percent or 66.4 million users by the end of 2024.

This is an improvement from the 72.2 percent adoption rate last year.

Digido said the most significant growth is expected from the digital commerce segment with 34 percent, followed by digital wallets with 27.2 percent and digital banking with 8.6 percent.

Digido business development manager Rose Arreco said the positive numbers are attributed to growing trust in various segments as strong demand for fintech in the Philippines continues.

Filipinos’ expectations of convenience, interoperability and improved user experience across applications are also seen increasing.

“The Philippines remains on course toward widespread digitalization, with its ‘fintechization’ far from weakening. Collaboration within and outside of the industry remains paramount for this growth to be realized faster,” Arreco said.

During the first half of the year, the largest growth of downloads was seen in the digital lending sector at 25.4 million, followed by digital commerce at 13.5 million and digital wallets at 12.2 million.

Digital payments and transfers, digital banking and digital personal finance applications garnered 7.8 million, 6.2 million and four million, respectively.

On average, Digido observed that the number of downloads is growing at approximately 10.26 percent, led by the digital banking sector, digital payments and transfer and digital lending.

Digido is part of the larger Singapore-based Robocash Group, servicing clients across key European and Asian markets.