MANILA, Philippines (Jun 2025) — The Bangko Sentral ng Pilipinas now expects inflation to average 5.1% in 2026, and if your money is just sitting in a regular savings account, it is quietly losing value every single day.
Rising oil prices and global pressures have pushed everyday costs higher for Pinoys nationwide. While fuel rollbacks offer temporary relief, the cascading effect on groceries and services has made it harder for households to stretch their budgets. The math is straightforward. If inflation outpaces the interest rate on your savings, your purchasing power shrinks over time, even if the number on your account stays the same.
Why a regular savings account is no longer enough
Traditional banks typically offer interest rates well below 1% per annum. At 5.1% inflation, that means money parked in a standard account is effectively losing around 4% of its real value each year. The solution is not necessarily to save more, but to save smarter.
Earning up to 8% with just P5,000
Salmon Bank (Rural Bank) is offering time deposits with interest rates ranging from 6% to 8% per annum. The entry point is low. You can start with just PHP 5,000 (approx. $85) and earn up to 6% p.a., a significant jump over what traditional savings accounts provide. For those with larger funds, deposits of PHP 1 million (approx. $17,000) and above can earn up to 8% p.a.
Even after the standard 20% withholding tax on interest earnings, these rates remain above the BSP-projected inflation rate, meaning your money actually grows in real terms rather than treading water.
A bank that has been around since 1963
For Pinoys wary of putting money into newer financial platforms, Salmon Bank carries the backing of a decades-old institution. Formerly known as the Rural Bank of Sta. Rosa Laguna, it has been serving Filipino communities since 1963. Deposits are insured by the Philippine Deposit Insurance Corporation for up to PHP 1 million per depositor, and the bank operates under the regulation of the BSP.
On the corporate side, Salmon Bank is majority-owned by Salmon Group Ltd., a technology-driven holding company backed by the International Finance Corporation, a member of the World Bank Group, along with sovereign wealth funds from Abu Dhabi and leading U.S. venture investors.
How to open an account
You can open a Salmon Bank Time Deposit online through salmon.ph/salmonbank-deposits. Branches are also available in Sta. Rosa, Laguna and Bacoor, Cavite. For full details on the offer, visit salmon.ph/salmonbank.
