By Edielyn Mangol, Reporter
The Philippine fintech sector is approaching artificial intelligence (AI) not just with excitement, but with a steadfast focus on ethics, responsibility, and trust — an approach that’s shaping the future of digital finance in Southeast Asia.
Future4ward: GCash’s blueprint for “Human-in-the-Loop” AI
At the recent GCash Future4ward 2025 Innovation Summit, a clear message emerged: digital progress must keep people at the center. Industry leaders, regulators, and innovators converged to push for a “human-in-the-loop” model for AI — a philosophy that GCash and its partners have championed.
Pebbles Sy, Chief Technology and Operations Officer of Mynt (the parent firm behind GCash), underscored the value of human judgment: “AI can speed things up, but humans bring the judgment, creativity, and empathy that make the difference.”
In practice, Filipino fintechs are embedding AI in systems for credit scoring, fraud prevention, and customer support but always with oversight, ensuring that automated recommendations are checked, verified, and improved by real people.
This approach is more than slogan; it’s visible across the sector. AI takes on repetitive tasks—scanning for anomalies, scoring loan applications, or answering routine customer queries—so teams can focus on complex cases, nuanced decisions, and delivering empathy-driven service. With keeping humans in the loop, companies protect against AI’s risks, such as algorithmic bias and “hallucinations” (fabricated responses), while rapidly scaling innovation.
Trust and ethics: BSP’s proactive AI regulation
Trust is non-negotiable in digital finance, and the Bangko Sentral ng Pilipinas (BSP) is ensuring it stays at the heart of fintech progress. BSP is rolling out new, clarificatory AI regulations in 2025, zeroing in on the management of bias, accuracy of algorithmic decisions, and ethical use of AI. While technology risk and cybersecurity are already regulated, these fresh guidelines close the gaps on emergent risks—especially as AI grows more advanced and embedded in critical financial functions. Learn more about BSP’s AI ethical regulations and their regulatory framework.
Melchor Plabasan, BSP’s Director for Technology Risk and Innovation Supervision, highlights that these regulations require banks and fintechs to document how AI systems make decisions, continuously monitor for inaccuracies or unfair outcomes, and show how human review safeguards are implemented. This regulatory stance aims to make the Philippine fintech sector a regional model for responsible, accountable AI.
Setting a Southeast Asian standard
While some ASEAN neighbors are still piloting AI in limited applications, Philippine fintechs are already operationalizing responsible AI frameworks — scaling up projects in fraud detection, loan underwriting, and compliance, while investing in staff training and data governance. Collaboration with regulators and industry groups, like Fintech Alliance.PH, is resulting in best-practice sharing and a push for regional AI governance aligned with ethical standards.
At summits and industry roundtables, the call to action echoes across stakeholders: innovation and regulation must co-evolve. Regulators, tech partners, and financial institutions alike agree—embedding AI in finance only works if customers feel safe, judged fairly, and confident that people, not just machines, hold the final say.
Looking forward: A future built on responsible AI
As Philippine fintech leads in deploying AI with a balanced, people-first mindset, it offers a clear lesson for the region: Responsible innovation, transparent oversight, and a commitment to public trust are as crucial as the technology itself.
In placing the “human-in-the-loop” — in both creed and code — the country’s fintech sector isn’t just following global trends, but setting a new standard for how AI can power financial inclusion, resilience, and ethical growth in Southeast Asia.
Furthermore, this commitment to responsible AI fosters stronger collaboration between fintech firms, regulators, and consumers. Through prioritizing education around AI capabilities and limitations, fintech companies in the Philippines are empowering users with transparency, building confidence in digital financial services.
This inclusive approach not only mitigates risks associated with AI misuse but also cultivates a digitally literate society that can more readily embrace future innovations. It is this holistic perspective which means combining technology, ethics, and empowerment that positions the Philippines as a true leader in the region’s fintech transformation.
