The adoption of financial technology (fintech) services through mobile apps in the Philippines is expected to reach nearly 80% by the end of 2024, according to an analysis by consumer credit service Digido.
The Digido report predicts that 79.5% of the adult population, or about 66.4 million users aged 15 and above, will be utilizing fintech services by the end of the year.
Digido attributes the growing adoption to increased trust in digital lending, digital wallets, and digital commerce, which are seen as harmonious. The digital commerce sector is projected to contribute 34% of the adoption growth, followed by digital wallets at 27.2%, and digital banking at 8.6%.
“The positive numbers seen in digital lending, digital wallets, and digital commerce can be attributed to growing trust in these segments and their natural synergies with one another,” said Rose Arreco, business development manager at Digido.
From September 2018 to June 2024, the adoption rate for fintech services among adults was recorded at 76.2%, equating to 63.1 million unique users. During this period, fintech mobile app downloads in the country totaled 617 million, with digital commerce leading at 31.4%, followed by digital wallets at 21.7%, and digital lending at 20.3%.
“As strong demand for fintech in the Philippines continues, so too Filipinos’ expectations on convenience, interoperability and improved user experience across these applications,” Arreco said.
In the first half of 2024, digital lending saw the highest number of downloads, with 25.4 million, followed by digital commerce and digital wallets at 13.5 million and 12.2 million, respectively. The digital banking sector experienced the highest growth rate, with downloads increasing by 22.34%.