,Philippines

Over three fourths of the Philippine population is unbanked

This translates to only 15.8 million Filipinos out of 103.3 million.

Only a fourth (22.6%) of Filipino adults are in possession of a bank account which roughly translates to 15.8 million Filipinos that have funds deposited in banks and other financial institutions as of end-2017, according to the central bank.

The Philippines has an overall population of 103.3 million in 2016.

Also read: Weak payment culture raises credit risk of Philippine banks

Ownership of a bank account that can be used to receive salary, save and receive remittance and pay bills is a basic indicator of financial inclusion, the Bangko Sentral ng Pilipinas said in a statement.

However, widespread poverty hampers bank ownership in the Philippines as 60% of the unbanked cite that they don’t have enough money to open an account.

This is followed by 21% who don’t perceive the need to open an account as they deal with cash in day-to-day transactions. Nearly a fifth (18%) admit the absence of the documents necessary to open an account hinders bank opening followed by high cost (10%). 

Education is also a another factor as 9% cite that they do not have enough knowledge to open an account followed by 8% who are unaware of the concept of a bank account. 

The Philippines has amongst the lowest bank account ownership rates in emerging Asia according to the World Bank. China and Indonesia's banked population are both at 80% whilst Indonesia is almost half at 49%. 

Join Asian Banking & Finance community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

Google Pay users can get up to a 20% cashback when they pay through SGQR.
It is exiting the retail banking business to refocus on corporate transactions.
NPL ratio is expected to rise to its highest since the 2009 financial crisis.
The latest licensed banks in Thailand have loan market share below 0.5%. 
The capital injection was approved by the State Bank of Vietnam.
RetireSavvy allows Singaporeans to adjust their retirement plans.
Its net promoter score rose 35% in 2021 from end-2020.
Chuchkina has 15 years of experience in the fintech industry.
Green projects have the potential to create over 1,350 jobs in the country.
Rapheal Mun will relocate from Singapore to London for her new role.
The new COVID surge that began in April may hinder GDP recovery.
Banking leaders admit that they are at risk of ceasing to exist in 5-10 years.