[Finterest] Maya keeps growing in 2024 — and it’s a win for Philippine digital banking

MANILA, Philippines – Maya, the Philippines’ biggest digital bank, is solidifying its position as a leader in the digital banking space — and its continued growth could signal a bright future for the digital banking industry as a whole.

In 2024, Maya closed the year with an impressive P39 billion in deposit balances and P68 billion in loans disbursed. Of course, those figures might not rival the massive deposits and loans of traditional bank giants just yet. But they’re a big deal for the digital banks, a sector that’s still in its early days after the Bangko Sentral ng Pilipinas (BSP) first started issuing digital banking licenses in 2021.

For some perspective, let’s turn to the latest available BSP balance sheet figures. In Q3 2024, Maya led the pack with deposit balances of P35.7 billion, leaving its competitors far behind. The second-largest digital bank, Gokongwei-backed GoTyme, posted P19.9 billion, followed by Aboitiz-led UnionDigital at P15.2 billion. The gap grows even starker when compared to smaller players like UNO Bank (P7.1 billion), Tonik (P6.0 billion), and OFBank (P3.3 billion).

According to Maya, its total customer base also hit 5.4 million in 2024. GoTyme, which positions itself as the “fastest growing” digital bank, reached the 3 million customer mark only in April 2024.

Maya attributes its success to its root, evolving from a payments solution and digital wallet into a full-fledged digital bank.

“Banking should be simply and empowering,” Maya Group president and Maya Bank co-founder Shailesh Baidwan said in a press release. “By merging payments and banking on one deligthful experience, we’re enabling more Filipinos to save, borow, and grow their money with ease.”

Loans powered by data, and the first digital bank credit card

With its popular app, Maya also has the benefit of using its robust user transaction data in reducing risk for its consumer loans.

“By using transaction data for credit scoring, Maya extends loans to those excluded by traditional banks, creating a cycle where payments activity drives lending growth,” the digital bank said in its press release.

The numbers back this up too. Even as Maya disbursed a total of P92 billion in loans since 2022, its gross non-performing loans (NPL) ratio stood at 4.06% as of Q3 2024, which is only slightly higher than the average NPL ratio for universal and commercial banks. In contrast, UnionDigital, which has taken a more aggressive approach to consumer lending, reported a significantly higher gross NPL ratio of 28.35% in the same period.

For consumers, Maya offers loans of up to P250,000, which may be approved and disbursed within the same day through the Maya app. Entrepreneurs in need of working capital can qualify for collateral-free loans of up to P2 million.

“Half of Maya Easy Credit borrowers received their first formal loan through the platform, and many small enterprises now rely on its business lending products to sustain and grow their businesses,” the digital bank said.

Maya also led the sector by becoming the first digital bank to venture into the credit card space. In the latter half of 2024, it launched the Landers Cashback Everywhere Credit Card to much anticipation. Within just three months, Maya issued more than 50,000 cards, making it as one of the fastest-growing credit cards in the country.

Inching towards profitability

Despite its strong performance, Maya is still working its way out of the red — a common scenario for digital banks in their early years. During a media briefing in August 2024, PLDT chairman Manny Pangilinian, whose telco giant holds a stake in Maya, said that the digital bank was “trending towards breakeven performance for December.”

At that point, the losses recognized by PLDT from Maya had already narrowed to P0.7 billion in the first half of 2024, down from P1.2 billion in the same period in 2023. However, whether Maya achieved its profitability goal remains to be seen, as its audited financial reports for the full year 2024 have yet to be disclosed.

And though Maya has proved its strength in digital banking, its digital wallet still lags behind its biggest rival, GCash. GCash, which became the country’s first and only $5 billion unicorn, continues to dominate the e-wallet space, attracting major foreign investors. The Ayala-affiliated fintech giant is also expected to execute what could become the Philppines’ biggest initial public offering (IPO) in history, potentially slated for 2025 or 2026. Maya, on the other hand, has no plans of going public anytime soon. No less than Pangilinan dismissed any near-term IPO ambitions as “simply an illusion.” (READ: ‘Disappointing for Maya,’ Pangilinan says as value of rival GCash soars to $5B)

Still, Maya’s continued growth should be seen as a win not just for the company, but for the entire digital banking industry. It proves that digitization is the future of banking, especially for tech-savvy young Filipinos who demand convenience and flexibility.

With the BSP lifting its moratorium on the issuance of digital bank licenses, new players are expected to shake up the sector in 2025. More banks mean more competition, which should keep leaders like Maya on their toes and drive more innovation.

When asked about the incoming challengers in 2025, Pangilinan put it simply: “It means more competition. We have to do better than what we’re doing currently.” – Rappler.com

Finterest is Rappler’s series that demystifies the world of money and gives practical advice on managing your personal finances.