Higala Secures $2.8M to Expand Digital Payments and Financial Access in the Philippines

Philippines-based digital payment startup Higala has expanded its seed funding round, securing a total of $2.8 million. The fresh capital comes from Singapore-based 1982 Ventures, a fintech-focused venture firm, and returning investor Talino Venture Studios, which supports sustainable innovation in financial technology.

Since its launch last year, Higala has been working to improve financial access by connecting rural banks, thrift banks, commercial banks, and e-money issuers to its network. The platform aims to lower the cost of real-time payments and simplify the process for users to access digital financial services.

1982 Ventures’ investment in Higala has shown its support for fintech startups in Southeast Asia. The firm’s portfolio includes Philippine-based NextPay, Lista, and Indonesia’s Brick, all of which focus on digital banking, financial management, and business payments.

Higala is set to introduce platform banking in the second quarter of this year, aiming to help smaller banks and financial institutions offer digital payment services. This initiative is expected to enhance financial inclusion by enabling more participants to join instant payment networks.

To further this goal, Higala recently partnered with Rizal Commercial Banking Corporation (RCBC) to provide core technology for SynerFi, an open payments platform designed to help smaller financial institutions integrate digital payments. The company believes this will improve financial resilience and expand access to modern banking services.

Due to interoperability challenges, only 18 of the Philippines’ 400 rural banks are part of InstaPay. Higala seeks to bridge this gap by reducing transaction costs and offering technology solutions that make instant payments more accessible to banks, businesses, and consumers.

Since launching in 2023, the startup has expanded its network by connecting rural, thrift, commercial, and electronic money issuers. It also provides white-label app services, enabling banks to transition into digital banking with minimal infrastructure investment.

Higala’s network consists of 40 participants in RCBC’s SynerFi service, including the Rural Bank of Cadiz, Guagua Rural Bank, and Rizal Microbank. By leveraging Higala’s infrastructure, these financial institutions can enhance digital payment offerings and broaden financial accessibility.

Higala works alongside RCBC, Xendit, the Rural Bankers Association of the Philippines, and FinTech Alliance PH, utilizing Mojaloop, an open-source instant payment system. Vice Catudio stated that the company’s ISO 20022-native infrastructure enables partners to launch new services, expand into underserved markets, and improve efficiency with enhanced reliability and reduced costs.