Priya Patel
TLDR:
- Fintech startup Salmon has acquired a controlling interest in the Rural Bank of Sta. Rosa in the Philippines, allowing it to become a licensed bank in the country.
- The acquisition will enable Salmon to offer AI-centric consumer credit and debit products, as well as expand access to modern banking services for underbanked Filipinos.
Fintech startup Salmon has acquired a controlling stake in the Rural Bank of Sta. Rosa in the Philippines, securing a banking license from the country’s central bank. The acquisition will allow Salmon to offer artificial intelligence (AI)-centric consumer credit and debit products, as well as expand access to modern banking services for underbanked Filipinos in key regions. Salmon plans to open new branches in Metro Manila, Cebu, and Davao, subject to approval from the central bank.
Salmon will own 59.7% of the Rural Bank of Sta. Rosa upon completion of the transaction. The fintech firm plans to inject capital and technology into the bank to enhance its offering for all customers. Salmon was established in 2022 with a focus on empowering underbanked and underserved communities in Southeast Asia, particularly in the area of credit access.
The fintech sector has seen significant growth in the Philippines, with the number of fintech companies increasing by more than 38% between 2021 and 2023. The country has a high rate of internet penetration, which has facilitated the growth of digital payments and e-commerce.
Salmon’s banking license will help further drive financial inclusion in the Philippines, offering modern financial products and services to a wider range of individuals, regardless of smartphone ownership or location.
