BancNet eyes future-ready network

As digital payments surge

MANILA, Philippines — BancNet is gearing up for cross-border interoperability, mobile-based payment capabilities and wider platform connectivity as it prepares for sustained growth in digital commerce and financial inclusion after transaction volumes more than doubled last year.

In its 2025 annual report, BancNet said the continued expansion of digital payments would require more investments to keep its network secure and resilient.

“Looking ahead, BancNet will continue to strengthen the foundations of the network while building future-ready capabilities,” BancNet chairman Nestor Tan and president Fabian Dee said in their report to shareholders.

“Initiatives such as cross-border interoperability, mobile-based payment capabilities and enhanced connectivity across platforms represent important steps in addressing the evolving needs of digital commerce and financial inclusion,” they said.

BancNet processed 5.67 billion approved switched transactions in 2025, more than double the 2.32 billion transactions in 2024, as electronic payments became more embedded in the daily lives of Filipinos.

The total value of transactions that passed through the network reached P15.82 trillion last year. InstaPay remained BancNet’s main growth driver, accounting for 82.19 percent of total transactions.

Payment-to-merchant transactions using QR Ph accounted for the biggest share of InstaPay volume at 2.47 billion transactions or 53.02 percent of the total. Person-to-person transfers followed with 2.18 billion transactions or 46.75 percent.

BancNet also posted record processing milestones during the year, with monthly InstaPay volume reaching an all-time high of 698.06 million approved transactions in December. Daily volume peaked at 25.33 million approved transactions on Dec. 24.

“Growth is expected to continue, and technology will keep evolving, requiring sustained investment to ensure that the network remains secure, resilient, and relevant,” Tan and Dee said.

“Through it all, the expanding role of digital payments will require BancNet to uphold the highest standards of operational excellence,” they added.

BancNet’s net income rose by 11.6 percent to P101.17 million in 2025 from P90.64 million in 2024, despite higher spending on technology and resiliency measures. This translated to a return on equity of 7.86 percent.

Gross revenues jumped by 42.8 percent to P5.7 billion, driven mainly by the sharp rise in InstaPay volumes and continued growth in card-based transactions.

Operating expenses also surged by 43.5 percent as the company invested in infrastructure modernization, network scaling, cybersecurity, systems enhancement and resiliency initiatives.

Total assets breached the P2-billion mark for the first time, rising by 16.4 percent to P2.18 billion from P1.88 billion in 2024. Total equity improved by 7.2 percent to P1.33 billion from P1.24 billion.

The company also expanded its network during the year. The number of teller machines rose by 6.5 percent to 29,453 from 27,659, while point-of-sale terminals increased by 12.1 percent to 680,645 from 607,113.

Active debit and prepaid cards in circulation reached 139.2 million, up by 14.9 percent from 121.2 million in 2024. As of end-2025, BancNet had 103 members composed of banks, electronic money issuers, cooperatives and independent teller machines deployers.

“As digital payments have shifted from convenience to necessity, BancNet’s role has evolved in step,” Tan and Dee said.