ACCORDING to the 2021 Financial Inclusion Survey (FIS) conducted by the Bangko Sentral ng Pilipinas (BSP), the proportion of banked adults in the Philippines increased from 29 percent in 2019 to about 56 percent in 2021. This is the most significant two-year increase since the survey began in 2015. The BSP's Digital Payments Transformation Roadmap aims to increase the number of Filipino adults with bank accounts to 70 percent by 2023 and raise the share of digital payments in total retail transactions to 50 percent by the same year.
Despite the increase in the banked population, financial inclusion remains a challenge in the Philippines. Many people, especially those living in remote and underserved areas, still lack access to financial services. This makes it difficult for people to access financial services such as savings accounts, loans, and insurance. In addition, inadequate connectivity in these areas makes it even more challenging for financial institutions to reach these communities.
This lack of access to financial services has significant implications for the Philippines' economy, as it hinders economic growth and development. Financial inclusion is critical in enabling individuals and businesses to participate in the formal economy, access credit and insurance, and invest in their future.
