The banking landscape in the Philippines is evolving rapidly, with digital banks making their mark as the top performers in the industry.

In a recent survey conducted by Forbes, CIMB Bank emerged as the best bank in the Philippines for 2023, beating out traditional banks with its all-digital approach.

What sets CIMB Bank apart is that it is not even headquartered in the Philippines but in Kuala Lumpur, Malaysia.

Despite lacking a physical presence in the country, it has excelled as a digital bank, attracting customers with its high-interest rates on deposits.

Another notable trend among the top banks in the Philippines is their adoption of a "phygital" approach - a combination of physical and digital channels to serve customers.

For example, Union Bank, led by Aboitiz, pioneered the country's first fully digital bank branch as early as 2017.

BPI recently launched a new mobile app that promises customers access to "AI-powered insights," and BDO, owned by the Sy Group, announced plans to upgrade its digital infrastructure, cybersecurity, and product capabilities.

Interestingly, Forbes noted that the biggest banks in the country, such as BDO and Landbank, did not necessarily rank at the top of the list.

This highlights the shift in customer preferences towards digital comfort, especially among Millennials and Gen Z customers.

The pandemic has accelerated the adoption of digital technology by banks, making customer experiences more robust, swift, and personalized.

Participants scored the banks based on general satisfaction, likelihood to recommend the bank, and customer ratings on trust, terms and conditions, digital services, customer services, and financial advice.