MORE thrift banks are expected to use digital finance with around 20 percent tapping digital payment rails, InstaPay and PesoNet, according to the Bangko Sentral ng Pilipinas .
Medalla said the Philippine banking system, which includes the thrift banking system, are “in solid footing” as assets, loans, deposits, and capital buffers are growing while still having enough to cover for bad loans. Bad loans or non-performing loans in the thrift banking industry is higher at 7.8 percent compared to the sector’s average at 3.6 percent while NPL coverage for thrift banks is at 63.2 percent, also lower than the 97.1 percent average for the Philippine banking system.
Meanwhile, the CTB’s convention has adopted the theme, “Thrift Banks 2022: Responding to the Call for Sustainable Development.” “Recent and current events such as the ongoing pandemic and natural calamities have triggered awareness about the importance of sustainability in various industries including banking,” said CTB President Cecilio San Pedro in his welcome message.