In the Philippines, the Financial Stability Coordination Council (FSCC) has reported a significant rise in consumer borrowing, particularly in unsecured loans such as credit cards and salary loans, which grew by 27.7% from 2021 to 2025. This contrasts sharply with household earnings, which only increased by 5.8% during the same period. The FSCC warns that this growing imbalance could weaken household resilience to economic shocks and potentially strain the banking system. Despite this, outstanding consumer loans at major banks have climbed to nearly ₱2 trillion, marking a 19.6% increase from the previous year. The council emphasizes that while most borrowers are currently meeting their obligations, the rapid growth of unsecured credit necessitates careful monitoring to mitigate risks of debt-servicing vulnerabilities. Policymakers are also concerned about external factors, such as inflation driven by geopolitical tensions, which could further complicate the financial landscape.