Salmon Secures $100 Million to Revolutionize Digital Banking in the Philippines

Manila, Philippines – In a country where millions remain unbanked and traditional financial services struggle to keep pace with digital demand, fintech startup Salmon has raised $100 million in fresh funding to accelerate its mission of bringing accessible banking solutions to the Philippines. The funding round, comprising $60 million in equity and $40 million in debt, underscores growing investor confidence in the country’s rapidly evolving financial landscape.

Founded by Pavel Fedorov, George Chesakov, and Raffy Montemayor—former executives at Russian digital bank Tinkoff—Salmon is leveraging its founders’ fintech expertise to disrupt a market ripe for innovation. With a mobile-first approach, the company is targeting the Philippines’ underbanked population, offering streamlined credit products, digital deposits, and loans that bypass the sluggish bureaucracy of traditional banks.

A Market Ready for Disruption

The Philippines presents a paradox: while it boasts one of the most digitally engaged populations in the world—with social media usage among the highest globally—its financial infrastructure lags behind. Nearly 70% of Filipino adults remain unbanked or underbanked, relying on informal lending networks or facing cumbersome loan approval processes that can take weeks.

Salmon is betting on technology to bridge this gap. By acquiring a rural bank in early 2024, the startup secured a banking license, allowing it to offer a full suite of financial services, including revolving credit lines, motorbike loans, and high-yield deposit accounts.

“The Philippines is one of the most exciting markets for financial disruption in the world,” Fedorov told TechCrunch. “We’re solving problems that traditional banks simply can’t address with their current infrastructure.”

Speed and Accessibility at the Core

Unlike conventional lenders that rely heavily on credit history—a hurdle for many Filipinos—Salmon uses real-time behavioral and digital data to assess borrowers. A loan application that once required paperwork, home visits, and weeks of waiting now takes 20 seconds via smartphone.

For example, a motorbike loan—a critical financing need in a country where two-wheelers are a primary mode of transport—can be approved instantly, with the vehicle ready for pickup the next day. The company also offers a 62-day interest-free grace period, incentivizing timely repayments.

On the savings side, Salmon Bank provides term deposits with yields up to 8%, a competitive rate in a market where many traditional banks offer significantly lower returns.

Strategic Funding and Expansion Plans

The latest funding round brings Salmon’s total capital raised to $310 million, split between $160 million in equity and $150 million in debt. The company turned to the Nordic bond market for its debt financing, a strategic move to diversify its funding sources.

Investors in this round include Spice Expeditions, Washington University Investment Management Company (WUIMC), Moore Strategic Ventures, and FJ Labs. Previous backers such as the International Finance Corporation (IFC), Abu Dhabi’s sovereign wealth fund ADQ, and Antler VC highlight the global interest in Southeast Asia’s fintech potential.

With fresh capital, Salmon plans to scale operations, enhance its product offerings, and explore international expansion within two years. The Philippines, however, remains its immediate focus—a market where digital banking adoption is still in its early stages but growing rapidly.

Challenges and Competition

Salmon is not alone in recognizing the Philippines’ untapped potential. Traditional banks are gradually digitizing, while regional fintech players like GCash and Maya dominate mobile payments. Yet, Salmon’s hybrid approach—combining digital agility with a licensed banking framework—positions it uniquely in the lending space.

Regulatory hurdles and cybersecurity risks remain challenges, particularly in a market where outages and fraud incidents have eroded trust in digital finance. Fedorov acknowledges these risks but emphasizes that Salmon’s technology is designed for resilience.

A Financial Revolution in the Making?

If successful, Salmon could serve as a blueprint for fintech disruption in other emerging markets with high mobile penetration but low banking access. The Philippines, with its young, tech-savvy population and increasing smartphone adoption, offers a fertile testing ground.

“We’re not just building a bank—we’re redefining financial inclusion,” Fedorov said.

As digital banking gains momentum worldwide, Salmon’s story will be one to watch—a case study in whether fintech innovation can truly democratize finance in markets that need it most.