‘Credit demand rising, but trust gap hinders inclusion’

MANILA, Philippines — Demand for credit among Filipino consumers is steadily increasing, but the lack of trust, transparency and sufficient credit data continues to hamper financial inclusion, according to CIBI Information Inc.

During the inaugural CIBI Impact 2025 summit, the country’s local credit bureau said the Philippine credit market is at a turning point as more Filipinos turn to financing options.

Nicholas Mapa, chief economist at the Metropolitan Bank & Trust Co., noted a surge in consumer appetite for loans, while CIBI chief analytics officer Harley Chan reported a marked rise in tradelines.

Buy Now Pay Later (BNPL) products are expanding faster than mortgages, auto financing and credit cards, buoyed by fintech innovations and government efforts to strengthen compliance with the Credit Information Corp.

 CIC president and CEO Ben Baltazar said credit awareness is also rising, with Filipinos accessing more than 10 million credit reports by mid-2025, a figure expected to climb further alongside lending activity. 

Despite the growing demand, barriers remain. JurisTech CEO See Wai Hun pointed out that 49 percent of Filipinos CREDIT FROM B1

are still unbanked, and only one percent of their loan applications are approved due to insufficient credit data.

She added that high delinquency rates and billions lost annually to fraud continue to erode confidence in the financial system.

 CIBI vice president for service and industrials Ivy Ramirez stressed that trusted data is key to solving these issues.

 “Quality data enables companies to make decisions 30 percent faster, boost efficiency by 25 percent, and increase profitability by 19 percent,” Ramirez said.

CIBI president and CEO Pia Arellano underscored the bureau’s role as a catalyst for inclusion, announcing the launch of new initiatives such as the Fraud Bureau and CIBI Advanced Tier platform aimed at enhancing transparency and reinforcing compliance.