Trump 2.0 and PH Fintech

As President Trump returns to the White House, the global fintech sector is poised for significant shifts, with notable implications for the Philippines.

- LITO VILLANUEVA

Trump's administration has been implementing policies that could reshape the fintech landscape, presenting both opportunities and challenges for Philippine stakeholders.

One of the most glaring changes is a potential shift toward a pro-growth policy framework. This can affect the fintech sector the most, because this approach is characterized by comprehensive deregulation efforts aimed at fostering innovation and reducing bureaucratic constraints.

In February 2025, Trump signed an executive order mandating a sweeping review of federal regulations, identifying and eliminating those that do not align with his administration's priorities. The White House stated that the move aims to "ensure accountability for all agencies."

This directive seeks to reduce federal oversight and curtail what is often referred to as the "administrative state." The Office of Management and Budget (OMB) has been tasked with overseeing regulatory rollbacks across sectors, including financial services, energy and health care.

As part of Trump's pro-growth agenda, the administration has reinstated a policy requiring the elimination of 10 regulations for every new one introduced. This aggressive deregulation strategy is expected to lower barriers for businesses, particularly in financial services.

How is this seen to impact the markets? Deregulation could lead financial institutions to scale back compliance requirements. The Trump administration has intensified efforts to weaken regulatory agencies such as the Consumer Financial Protection Bureau (CFPB), which was established after the 2008 financial crisis to oversee banks and protect consumers. With a diminished CFPB, financial institutions may experience fewer regulatory constraints, potentially boosting revenue and profitability.