THE adoption of financial technology via mobile apps in the Philippines is expected to reach 66.4 million users by the end of 2024, according to a study by Digido.
The growth it said will come from the digital commerce segment is forecasted to contribute 34 percent followed by digital wallers at 27.2 percent and digital banking at 8.6 percent.
According to Digido, some 63.1 million users adopted mobile fintech services from September 2018 to June 2024 with fintech app downloads reaching 617 million.
By sector, digital commerce topped the fintech app downloads by 31.4 percent followed by digital wallets at 21.7 percent and digital lending at 20.3 percent.
Completing the list were digital payments and transfers at 11.6 percent, digital personal finance apps at eight percent and digital banking at seven percent.
First half of 2024
Moreover, based on Digido analysis, the largest growth of downloads during the first half of 2024 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 applications garnered 7.8 million, 6.2 million and four million, respectively.
On average, Digido observed that the number of downloads is constantly growing at a rate of approximately 10.26 percent per half year.
Over the first six months of 2024, the digital banking sector experienced the highest growth rate of downloads at 22.34 percent, followed by digital payments and transfers (17.72 percent) and digital lending (16.81 percent).
“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. As strong demand for fintech in the Philippines continues, so too do Filipinos’ expectations on convenience, interoperability and improved user experience across these applications,” said Digido business development manager Rose Arreco, in a statement.
Arreco expressed confidence that the Philippines will remain on course toward widespread digitalization with its ‘fintech-ization’ far from weakening.
“Collaboration within and outside of the industry remains paramount for this growth to be realized at a faster rate,” Arreco said. / KOC