Bangko Sentral ng Pilipinas (BSP) Deputy Governor Chuchi Fonacier said two overseas-based banking entities are interested in applying for a digital banking license that could expand Islamic finance in the country.
Fonacier in an interview on February 1 declined to identify the banks but said one is a big player in Malaysia.
The BSP official said queries were made last year prior to the Central Bank’s decision to increase the license for digital banks by another four from the current six.
Fonacier said at least four firms have expressed intent for the license but none has formally filed an application.
On the potential Islamic bank, Fonacier said one is a lender already operating in the Philippines and eyes to become the first Islamic digital bank.
There are five entities providing Islamic financial services in the country — Amanah Islamic Bank, CARD Bank, Maybank Philippines and PruLife UK and eTiQa which are the first first two Takaful operators licensed last year to provide Islamic insurance services.
Fonacier said the BSP is committed to fostering Islamic finance in the Philippines, addressing financial inclusion, especially in the Muslim-majority regions of Mindanao.
Fonacier noted that 85.8 percent of people living in the Bangsamoro region lacked access to formal financial services.