Why it's time for fintech to look outside NCR

When it comes to fintech in the Philippines, most people think of Metro Manila. The nation’s capital is where e-wallets, online banking, and fintech solutions have become commonplace, to the point that even roaming taho vendors accept payments via QR codes.
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But the local fintech landscape is changing. Outside of the National Capital Region, digital payments have also become a powerful tool for financial inclusion. For example, eTap Solutions currently operates nearly 1,750 machines across Visayas and Mindanao, providing convenient access for users to top up their e-wallets, pay bills, and perform other essential transactions.
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In fact, there are a number of reasons why fintech companies should serve people outside NCR.
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Economic growth

The Philippine economy grows about 5-6% each year, thanks to strong domestic consumption, remittances from overseas Filipino workers, a thriving services sector, and increasing infrastructure investments. 

While much of the country’s economic growth can be seen in Metro Manila, that doesn’t mean it isn’t also felt in other cities and provinces. Cebu concluded 2024 on a high note, hitting a Gross Domestic Product of P1.01 trillion, with Lapu-Lapu City leading growth at 9.4%, followed by Cebu City (8.3%) and Mandaue City (7.6%)—all surpassing Central Visayas' 7.3% overall regional growth.
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Similarly, Davao City recorded 7.5% economic growth in 2023. Neighboring regions weren’t far behind either with Davao del Norte, Davao Occidental, and Davao Oriental’s economies expanding by 6.0, 4.7, and 4.6 percent respectively.
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It’s no coincidence that many of eTap’s kiosks are located in places that record impressive economic growth. Davao has nearly 250 eTap kiosks, Cebu follows with almost 100, Cagayan de Oro has over 80, and Zamboanga operates 80 kiosks, making digital transactions more accessible across these key cities where higher consumption and purchasing power propels local economies. More importantly, eTap's Gross Transaction Value (GTV) has steadily increased in these regions, reflecting the growing demand for convenient digital payment solutions outside of NCR.
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Improving infrastructure
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Local governments are also actively promoting cashless payments and fintech adoption to drive financial inclusion and efficiency.

Last August, Cebu City launched the Paleng-QR PH initiative promoting cashless payments in public markets and tricycles. The program aims to enhance digital transactions for a more secure and convenient payment system, reducing reliance on physical cash.
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Fundamental infrastructure such as internet speed also shows progress. The Philippines' fixed broadband performance continues to improve steadily, reaching 94.42 Mbps in Q2 2024, according to Ookla® Speedtest Intelligence. While there is room for growth, the country is making consistent progress in enhancing the network speed and connectivity of all regions.

A still unbanked population
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Finally, the most compelling reason that fintech companies should look beyond NCR is that many in provinces and rural areas still have no access to banking services, such as savings accounts, credit cards, loans, and other forms of digital payments. Research from McKinsey & Company has noted that the country’s banking penetration rate still falls behind its peers and emerging market standards.
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For fintech companies that recognize the growing demand for digital financial services in underserved regions, they could be more than just the first mover—they could also be pioneers.
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The demand for digital financial services is growing outside NCR. For fintech leaders, the most pressing question is now whether their company will be part of this shift.
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Article by Pancho Dizon (Corp Comms Manager)
Thumbnail by Brennan Cahilig (Graphic Designer)

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