Philippines digital lending market projected to surpass $1 billion in 2025

The digital lending market in the Philippines is projected to exceed $1 billion in 2025, according to a study by Digido. This marks an increase from $796 million in 2024 and $693 million in 2023, driven by the rise of nonbank digital lenders. The growth is fueled by the increasing use of mobile lending apps, with downloads expected to reach 73.5 million in 2024. A significant factor is the influence of Generation Z, who are embracing digital financial solutions and buy now, pay later schemes. Fintech companies are expanding their loan offerings, particularly for small businesses. They streamline the application process, reducing documentation requirements and using alternative methods to assess creditworthiness, making loans more accessible to underserved borrowers.