The Philippine thrift banking sector continued to strengthen its role in the country’s financial system, posting solid growth in 2024.
New data released by the Chamber of Thrift Banks (CTB) in July 2025 showed total assets increased by 6% to ₱1.1 trillion (US$19.5 billion). The performance underscores the sector’s expanding role in supporting the country’s financial ecosystem.
At the heart of this expansion was a significant increase in lending activities. Thrift banks expanded their core loan portfolios by 14.7% to ₱777.28 billion (US$13.8 billion).
The strong lending growth reflects the sector’s continued support for individual borrowers, micro, small, and medium enterprises (MSMEs), and local communities. By extending credit, thrift banks help support business expansion, job creation, and broader economic activity.
“We are pleased to report that the Chamber of Thrift Banks has continued to demonstrate remarkable growth and adaptability through the years,” CTB President Mary Jane Perreras said.
Strong deposits, digital innovation bolster thrift bank stability and services
Members and officers of the Chamber of Thrift Banks (CTB)
The sector’s strength extends beyond lending. Thrift banks reported deposit liabilities of ₱826 billion (US$14.67 billion), up 4.7% from the previous year, reflecting continued depositor confidence. The CTB also said the sector maintained a strong capital base of ₱174 billion (US$3.08 billion).
The industry’s capital adequacy ratio stood at 17.88%, well above regulatory requirements, providing banks with a healthy buffer against potential economic shocks.
Beyond the financial figures, thrift banks are also investing in innovation. Perreras said many CTB member banks have upgraded their digital infrastructure and strengthened their cybersecurity measures to improve customer service while protecting financial transactions.
Recognizing the growing importance of digital literacy, member banks are also rolling out consumer education initiatives to help customers use digital financial services safely and responsibly.
Strategic partnerships support financial inclusion
To further improve efficiency and customer experience, thrift banks have also partnered with fintech companies and low-code platform providers to accelerate the rollout of customized digital banking services. These collaborations are helping make financial services more accessible to a broader segment of the population.
The CTB also reaffirmed its commitment to strengthening the sector’s contribution to inclusive growth.
“Our goal is to strengthen the thrift banking sector’s contribution to inclusive economic development, ensuring our members remain key providers of financial access in communities across the country,” Perreras said.
The organization added that it will continue promoting sound risk management, operational excellence, and sustainable growth among its members.
Through ongoing quarterly engagements with the Bangko Sentral ng Pilipinas’ (BSP) Bank Supervision Policy Committee, the CTB is also advocating for regulatory measures that better reflect the operating environment of thrift banks.
Among its proposals is reducing the Minimum Liquidity Ratio from 20% to 16%, which the chamber said could provide banks with greater capacity to extend loans while maintaining prudent liquidity management.
The sector’s 2024 performance highlights the growing role of thrift banks in expanding financial access across the country. As they continue investing in digital capabilities, strengthening cybersecurity, and working with regulators to refine the operating environment, thrift banks are positioning themselves to play an even greater role in advancing financial inclusion and supporting the Philippines’ evolving digital economy.
