Manila, the Philippines, November
10, 2015—IFC, a member of the World Bank Group signed an agreement
with Rizal Commercial Banking Corporation to help design non-financial
services, strategies, and products for small and medium enterprises in
Non-financial services are
value-added services that are essential for the growth of SMEs, but are
difficult for SMEs to access. These include knowledge sharing, capacity
development, business mentoring, and business networking. Small and medium
enterprises employ around 30 percent of the country’s total workforce
and produce one-third of its gross domestic product. Strengthening this
sector will create jobs and diversify the country’s economic base.
“Providing non-financial services
is a win-win situation for both SME owners and RCBC,” said RCBC President
and Chief Executive Officer Lorenzo Tan. “Entrepreneurs gain additional
skills to grow their businesses while RCBC gets valuable insights into
the issues they face. This will help us design products that better serve
IFC will work with RCBC to
review its current non-financial services capacity, understand its clients’
needs, and analyze market trends to design a customized non-financial services
strategy to help the bank’s SME clients grow their businesses.
“Philippine banks increasingly
see SMEs as a worthwhile market segment,” said Yuan (Jane) Xu, IFC’s
country manager for the Philippines. “We will help RCBC build and retain
its client base by providing financial and non-financial services to meet
SME needs and preferences.”
The agreement furthers IFC’s
continuing assistance to RCBC’s Small and Medium Enterprises Lending Program.
IFC recently completed a project to help develop RCBC’s Women in Business
Program to significantly improve the bank’s offering to women entrepreneurs.
Women own about 70 percent of the country’s SMEs and face unique challenges
in accessing credit. The project won the IFC CEO Gender Award for IFC’s
East Asia Pacific team.
This year alone, RCBC won Best
SME Bank of the Philippines from The Asian Banker and SME Bank of the Year—Philippines
from Asian Banking and Finance.
IFC, a member of the World
Bank Group, is the largest global development institution focused on the
private sector in emerging markets. Working with more than 2,000 businesses
worldwide, we use our capital, expertise, and influence, to create opportunity
where it’s needed most. In FY15, our long-term investments in developing
countries rose to nearly $18 billion, helping the private sector play an
essential role in the global effort to end extreme poverty and boost shared
prosperity. For more information, visit www.ifc.org
The Rizal Commercial Banking
Corporation (RCBC) is one of the largest universal banks in the Philippines
with total consolidated resources of Php457.9 billion as of end-2014. As
a diversified financial services institution, RCBC serves corporate and
individual banking needs through the most appropriate vehicles to serve
its chosen markets with innovative products and services.