COVID-19 has had a strong influence on consumer lending in the Philippines, with it having a polarised impact on demand during 2021. The negative economic impact of the COVID-19 pandemic and the economic uncertainty that has emerged in its wake has put pressure on the household finances of much of the country’s population.
Concerned by the sharp rise in non-performing loans lenders have become stricter with their lending criteria in 2021. When making their decision, lenders have been taking into consideration the applicant’s employment status, as well as the businesses and industries that have been most affected by the COVID-19 crisis.
PAG-IBIG fund, the government-owned and controlled corporation responsible for the administration of the national savings programme and affordable shelter financing for Filipinos, hit record-high numbers of mortgages/housing loans in Jan-Apr 2021. PAG-IBIG confirmed that over 27,000 of its members had availed themselves of its housing loan programme during this period despite the ongoing health crisis.
With its extensive card portfolio, BDO Unibank Inc remains the leading issuer of credit cards in the Philippines, closely followed by Bank of the Philippine Islands – BPI and Metropolitan Bank & Trust Co - Metrobank - MBTC. While the number of credit cards being issued has fallen in 2021 the leading providers have been focusing on their digitalisation strategies with one eye on the future.
Banks and BSP (Bangko Sentral ng Pilipinas) are hopeful that consumer lending will return to growth by the end of 2021, in terms of gross lending. According to a survey from BSP, consumer and business confidence is expected to recover over the course of 2021 and 2022.
Files are delivered directly into your account soon after payment is received and any tax certification is verified (where applicable).
Understand the latest market trends and future growth opportunities for the Consumer Lending industry in Philippines with research from Euromonitor International's team of in-country analysts – experts by industry and geographic specialisation.
Key trends are clearly and succinctly summarised alongside the most current research data available. Understand and assess competitive threats and plan corporate strategy with our qualitative analysis, insight and confident growth projections.
If you're in the Consumer Lending industry in Philippines, our research will help you to make informed, intelligent decisions; to recognise and profit from opportunity, or to offer resilience amidst market uncertainty.
This report originates from Passport, our Consumer Lending research and analysis database.
If you purchase a report that is updated in the next 60 days, we will send you the new edition and data extract FREE! Home Page