Business loan growth lifts Philippine bank lending in July

Loans for business activities expanded faster than a month earlier.

Bank lending in the Philippines grew by 10.4% in July, faster than the 9.8% growth in June, according to data from the Bangko Sentral ng Pilipinas (BSP).

Outstanding loans to residents rose 10.8% in July. These accounted for the bulk of total bank lending, the central bank said.

Loans for business activities expanded by 9.8% in July, faster than in June, led by increased lending in key sectors.

These sectors include electricity, gas, steam, and air conditioning supply; wholesale and retail trade, and repair of motor vehicles and motorcycles; manufacturing; financial and insurance activities; and information and communication, the BSP said.

Consumer loans to residents grew slower than in June, at 17.1%.

Growth in credit card and motor vehicle loans softened as consumer confidence remained weak, the BSP said.

The Philippines met its digital payments target in 2025, with 64.69% of retail payments made digitally, according to a 2026 report by the BSP.

The BSP offered Philippine rural banks a 3-year free subscription to a cloud-based core banking system.