The International Finance Corp. (IFC) will invest up to $100 million (P5.9 billion) in City Savings Bank’s gender bond issuance, aimed at funding more consumer loans for women and marginalized sectors in the Philippines.
CitySavings is thrift bank subsidiary of Aboitiz-led Union Bank of the Philippines.
The World Bank Group’s private sector arm disclosed on June 1 that it signed its investment in CitySavings on May 28, following the IFC board’s March 13 approval, with CitySavings planning to raise up to $200 million from a gender bond or loan.
"The project is expected to help CitySavings to grow its salary loan portfolio, majority of whom are female and workers in the lower-middle income segment,” the IFC said.
“This will increase access to financing for these underserved individuals, and consequently increase access to essential products and services such as housing, education, medical, and funds for business," it added.
