GoTyme Bank, the digital lender backed by the Gokongwei Group and Tyme Group, expects to remain resilient against potential monetary policy tightening by the central bank as it targets pivot to profitability next year.

GoTyme Bank CEO Nate Clarke told reporters that heightening geopolitical tensions in the Middle East have created macroeconomic headwinds likely to keep regional central banks on a hawkish path

This suggests the 4.25 percent key interest rate set by the Bangko Sentral ng Pilipinas (BSP) could hold steady or rise.

“I would say the current macro environment, particularly in the Middle East and oil markets, will likely prompt a pause. We are no longer expecting a rate cut. Inflation and oil prices would need to escalate further to justify any rate hikes,” Clarke said.

He noted that, unlike traditional banks, digital lenders are cushioned from interest rate fluctuations thanks to their short-dated loan books. “We’re quite insulated from [monetary policy shifts]. Unlike traditional banks with longer-dated loan books, ours is largely short-term,” he said.

GoTyme is also ramping up its growth strategy to get ahead of incoming players in the digital banking field. The BSP previously said new entrants will be announced in the first quarter after a four-month assessment of license applications.

Clarke believes the BSP could order the conversion of banking licenses for banks that predominantly deliver financial services digitally. “There could be a reshuffling of licenses, with some players currently under the rural bank regime transitioning to a digital bank license,” he said.

Meanwhile, he said GoTyme’s strategy prioritizes business expansion over profitability, though the CEO still expects the bank to become profitable by 2027.

GoTyme’s gross profits more than doubled in 2025, Clarke reported, while operational expenses grew by less than 15 percent. He added that the digital lender enjoys strong customer economics and is “comfortable” with its fundamentals.

“While growth remains the focus, we’re already profitable at the customer level. The overall business is likely to break even by next year,” Clarke said.

Clarke also believes new entrants will not materially change GoTyme’s strategy. “Our focus is to sustain our momentum and stay ahead before they scale up—prioritizing growth and maintaining our position as the fastest-growing bank [in the Philippines],” he said.

Of GoTyme’s global customer portfolio, the Philippines ranks second with nine million users, trailing South Africa’s 12 million. GoTyme also has a presence in Hong Kong and Indonesia.

GoTyme’s non-performing loan (NPL) ratio ranged from five to seven percent in 2025 and is expected to remain in this range in 2026.

Clarke said the lender initially took a conservative approach after launching its first unsecured credit products last year but is now “confident” in scaling up. GoTyme has expanded eligibility to more than 600,000 customers and plans to accelerate this rollout “aggressively” in 2026.

Last week, GoTyme launched its partnership with Visa to support the FIFA World Cup 2026, expanding access to cross-border financial services.

Jeffrey Navarro, Visa’s country manager for the Philippines, said its partnership with FIFA will be strengthened through collaboration with GoTyme. “Together, we are enabling secure and seamless digital payments to unlock meaningful opportunities for cardholders across the Philippines,” he said.