A growing wave of fintech regulatory policies are stirring transformation in the Philippines’ banking and insurance sectors. With digital payments soaring and formal financial access expanding, deeper context helps connect these changes to real impact.
The Philippines has seen a leap in digital payment use. Monthly share of digital retail transactions climbed from just 1 percent in 2013 to about 42 percent in 2022, nearly hitting the 50 percent target by end-2023. Adult financial inclusion also advanced: the BSP’s 2020-2023 Digital Payments Transformation Roadmap helped bring 70 percent of adults into the formal system by 2023.
Alongside payments, infrastructure evolved. The BSP issued Circular No. 1198 in July 2024 to set standards for merchant payment acceptance systems, aiming to protect customer funds and safeguard merchants. It also formalized a regulatory sandbox framework in 2022, adopted into bank regulations, to let innovators test new financial solutions under controlled conditions.
Tougher licensing policy shaped market shifts. Moratoriums on new digital banking licences ran until August 2024, while restrictions on online lending platforms and crypto-asset service providers extended into 2025. Yet such limits aimed to protect consumers and uphold financial stability, not stifle innovation.
Simultaneously, the BSP and SEC forged a Cooperative Oversight Framework to govern fintech within single-app ecosystems. This aligns stakeholders and paves a stable path for future platforms. Complementing this, FinTech Alliance PH, industry-led, supported inclusion, pushed digital payment and retail payments advances, and backed the National Strategy for Financial Inclusion.
These policies reflect both caution and opportunity. They protect institutions and consumers, while nurturing fintech innovation and financial inclusion.
The tightening of licensing under fintech regulatory policies achieved multiple aims. The moratoriums slowed unvetted entry, allowing regulators to review risk profiles and improve oversight. It also encouraged players to adopt new models to fit regulated frameworks.
Merchant payment rules and sandbox experimentation allow innovation without letting go of safety. Crowdfunding and crypto, meanwhile, come under closer scrutiny, thanks to pending draft rules and SEC advisories that curb unlicensed investment platforms.
The Cooperative Oversight Framework and industry codes help harmonize oversight. FinTech Alliance PH pushed initiatives such as a code of conduct, digital connectivity bills, and publication of fintech reports. These built trust and paved policy momentum.
These fintech regulatory policies shape the broader BFSI (Banking, Financial Services, Insurance) sector. Traditional players must adapt, digital banks need resilience (especially since many still face losses, the sector posted a ₱7.07 billion net loss by December 2024). Lending is cautious, with low loan-to-deposit ratios (~36 percent), even as deposits grew 34 percent year on year.
BFSI summit Philippines events now spotlight these shifts. Forums and summits serve as hubs to discuss digital payment trends, sandbox opportunities, crypto rules, and merchant payment standards. They bring leaders together to share insight and shape next moves.
We invite you to join Philippines WorldFIS, the premier fintech conference where we bring experts, stakeholders, and regulators under one roof.
We’re hosting World Finance Innovation Series – Philippines on 23–24 September 2025 at Manila Marriott Hotel. Over 600 technology and business heads from leading banks, insurers, and micro-finance institutions will convene.
We’ve tracked key data: fintech adoption is forecast to hit 72 percent of the population in 2024. In 2022, fintech firms raised US $344 million, while 867 fintech apps were in active use. Over 74 percent of Filipinos own smartphones, a clear chance for mobile finance growth.
Our event celebrates these trends and supports policy strides. We cover digital payments, open finance, crypto regulation, and sandbox experiences, as our agenda reflects. Our speakers include senior figures like the Assistant Governor of BSP, SEC ICT director, the Bureau of Treasury treasurer, and leaders from digital banks.
We are driving the transformation of Philippine financial services. Our expertise, alignment with government priorities, and proven advisory strength make us the trusted source of knowledge and action. At the World Finance Innovation Series – Philippines, we set the stage for meaningful dialogue, compliance-ready strategies, and fintech growth that creates lasting impact.
The fintech regulatory changes in the Philippines are not just policy updates; they are shaping the future of banking, insurance, and financial services. With stronger compliance, digital payment growth, and controlled innovation through sandboxes, the sector is finding a balance between progress and protection. Events like the BFSI summit Philippines and the Philippines WorldFIS fintech conference give stakeholders the right forum to exchange knowledge and align with national goals. By bringing regulators, banks, insurers, and innovators together, the country is building a financial system that is secure, inclusive, and ready to grow in 2025 and beyond.We look forward to seeing you, and making impact, at Philippines WorldFIS, the hallmark financial services conference where policy, practice, and innovation meet.
