Singapore Fintech Gets Digital Bank License in Philippines

Unobank will be entirely regulated under the Digital Banking License framework in the Philippines.

DigibankAsia, a Singapore-headquartered fintech, has become the first fintech to receive a license to operate a digital bank in the Philippines, it announced in a statement on Tuesday.

Uno, which is operated by Singapore-based DigibankAsia, has been working with digital services and consulting firm Xebia, fintech software provider Backbase, cloud banking provider Mambu and Amazon Web Services, for its rollout in the Philippines, which has among the lowest banking penetration in Southeast Asia.

The Bangko Sentral ng Pilipinas’ vision and foresight to digitize the local banking industry is future-forward and apt, because ultimately it will help align the Philippines as a modern banking center for the region, Manish Bhai, Unobank CEO, said in the announcement.

According to Uno, it aims to bridge the financial inclusion gap to help pave the way for all Filipinos to have access to basic financial services, and hopes to extend its services to the rest of Southeast Asia and South Asia.

Around 70 percent of the population of the Philippines is considered unbanked, while the country has very high mobile penetration, with 60 percent owning a smartphone and 67 percent of the population using the internet.

The country’s banking regulator previously issued two digital banking licenses, which are conversions from previous bank licenses.