Financial inclusion stalls as accounts slip to 50%

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April 17, 2026 | 12:00am

MANILA, Philippines — Financial inclusion gains in the Philippines showed signs of slowing, with the share of adults owning formal financial accounts declining to 50 percent in 2025 from 56 percent in 2021, according to the Bangko Sentral ng Pilipinas (BSP).

Data from the 2025 Consumer Finance and Inclusion Survey (CFIS) showed that “half of Filipino adults owned a formal financial account, down from 56 percent in 2021,” marking a break from the steady rise recorded in previous surveys.

The BSP said the decline was partly driven by fewer loan-linked accounts, particularly those tied to microfinance institutions and cooperatives, in line with reduced borrowing activity from these sectors.

Despite the dip at the individual level, access to financial services remained widespread at the household level. The survey showed that 85 percent of households had at least one member with a transaction account in 2025, suggesting that many families rely on shared financial access rather than individual ownership.

The central bank also emphasized that financial inclusion continues to evolve, with digital channels playing a bigger role. In 2025, 62 percent of households used electronic devices for online financial transactions, up from 53 percent in the previous year.

While overall account ownership declined, the survey highlighted gains among specific segments, particularly young Filipinos and women.

Account ownership among young adults aged 15 to 19 rose to 34 percent in 2025 from 27 percent in 2021. At the same time, women continued to outpace men in financial access, with bank account ownership among Filipino women increasing to 25 percent from 20 percent previously.

Women also “surpassed men in ownership of more sophisticated accounts, such as bank accounts, marking a notable shift toward greater gender parity,” the report said.

In 2025, only 25 percent of Filipino adults had outstanding loans, down from 45 percent in 2021. However, formal borrowing became more prevalent than informal sources, signaling progress toward a more stable credit environment.

“The composition of credit improved: formal lending sources surpass informal borrowing. This signals progress toward safer and more regulated credit markets,” the BSP said.

Financial literacy also posted gains. The survey found that 74 percent of Filipino adults were able to correctly answer at least half of basic financial literacy questions, improving from 69 percent in 2021.

In addition, Filipinos demonstrated strong awareness of financial security practices. Around 78 percent said they avoid publicly sharing personal information online, while 64 percent verify whether financial institutions are regulated before availing of products and services.

Still, the BSP said challenges remain, particularly in deepening usage of financial products and improving financial resilience.

“Financial inclusion in the Philippines has achieved broad reach, particularly through digital channels and household-level access. However, the findings also make clear that access alone is insufficient,” the report said.

The central bank said it would continue working with the government, the private sector and development partners under the National Strategy for Financial Inclusion 2022 to 2028 to expand access, strengthen financial capability and enhance consumer protection.

These efforts aim to translate broader access into sustained financial health and resilience for Filipino households.