Fintech firms flip the script on cash-centric Philippines

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IN FOCUS

In today’s newsletter, we look at:

• Why the fintech sector in the Philippines is all about GCash, Maya, and cross-border deals
• Singapore’s 115-year-old insurer, Great Eastern Life, launches new products to keep up with the times, but will these make a difference?
• How Thai food delivery firm Line Man Wongnai’s recent acquisition of a majority stake in local payments platform Rabbit Line Pay furthers its ambition to become the kingdom’s dominant tech platform for ecommerce services

Hi there,

A friend of mine who recently visited China lamented that it was almost impossible to pay with cash or even non-Chinese credit cards. Everyone relies on either Alipay or WeChat Pay.

This might not hold true for the Philippines just yet. As my colleague Miguel notes in this week’s Big Story, cash remains king in the archipelago. It’s still the predominant payment method, particularly in public transportation and small-scale businesses.

However, there are swift changes underway, largely driven by e-wallets GCash and Maya. Both firms enjoy the backing of major local telecom companies – Globe Telecom and PLDT, respectively.

Together, the two account for around two-thirds of the total funds raised by fintech startups in the Philippines. While GCash boasts a larger user base, Maya is also selling itself as a digibank and is one of the few homegrown entities to receive a digibank license from local regulators.

Apart from these players, Tech in Asia has recorded over 40 fintech firms operating across various sectors in the Philippines, all making strides in the capital market.

Meanwhile, for this week’s Hot Take, I look at some new products launched by Great Eastern Life, a traditional Singaporean insurer.

— Simon

THE BIG STORY

The players pushing the Philippines into the SEA fintech spotlight

Image credit: Timmy Loen

Having secured the most capital, GCash and Maya are the dominant players in the country’s payments sector.

THE HOT TAKE

NEWS YOU SHOULD KNOW

FYI