Tala highlighted how real-time data and alternative credit scoring are changing how small businesses access loans across Asia, during Money20/20 Asia in Bangkok, Thailand, a fintech gathering of payments and financial services leaders.
Moritz Gastl, Tala Philippines General Manager Moritz Gastl joined a panel titled “Winning the SME Lending Market with Real-Time Data,” where industry players discussed how faster data systems, alternative data sources, and embedded finance are improving how lenders assess risk and serve small businesses.
In the Philippines, where micro, small, and medium enterprises (MSMEs) are a major part of the economy, Tala said it now serves 4.5 million customers, with about 25% using loans for business needs. Around 9 out of 10 users reported a better business outlook after taking a Tala loan.
Gastl said many users already operate as micro-entrepreneurs when they apply.
“While our foundation is built on unsecured loans, we’ve recognized that many of our customers are also micro-entrepreneurs who are using these funds for working capital,” he said.
He added that customer behavior often reflects urgent business needs.
“In many interviews, we found people already at a store needing to buy supplies and only start the loan journey at that point,” Gastl said.
Tala said its credit decisions are powered by machine learning models trained on billions of data points collected over 12 years across multiple markets, allowing faster approvals and more personalized loan offers. The company is also expanding into embedded finance, integrating financial services into partner platforms to reach more users, while continuing its efforts on financial inclusion for underserved borrowers.
Gastl also joined a Policy20 discussion on alternative data and how it can help build financial identities for people without traditional credit history.
Beyond lending, Tala uses AI and machine learning for 24/7 fraud monitoring and works with regulators on fraud detection and intelligence sharing. It also promotes responsible lending through its “Debt with Dignity” approach.
A customer example shared by Tala featured Berna, a 34-year-old from Baseco, Manila, who used her loan to start a neighborhood store. She said the loan helped her create income opportunities when jobs were limited.
Gastl said these outcomes reflect the broader impact of MSME access to credit. “Micro-entrepreneurs are often excluded due to lack of collateral and credit history. We want to stay part of their journey as they grow,” he said.