With 60 percent of the funding dedicated to women-led businesses, this investment aims to reshape access to capital for underserved entrepreneurs.
Beyond financing, IFC will help AFC adopt global best practices in sustainability and responsible lending.
Management’s view
“We are very grateful for IFC’s support, which will allow us to expand our lending to more MSMEs, particularly in underserved regions of the country and those that have historically been excluded from the formal financial sector,” said Robert B. Jordan Jr., CEO of Asialink Finance Corp. Group of Companies.
“This collaboration will not only expand our lending reach but also enable us to bring our financial solutions to more entrepreneurs and local businesses across the country. By addressing the financing gap, particularly for women-led MSMEs, we are confident that this partnership will create lasting economic impact, foster gender equity in entrepreneurship, and further contribute to the growth and resilience of the Philippine economy," he said.
Why this matters?
Most MSMEs operate outside Manila, but only 14 percent of bank loans reach them, according to Bangko Sentral ng Pilipinas (BSP).
Financial access for women is even more limited—just 20 percent of women have formal bank accounts, compared to 26 percent of men, based on a 2021 BSP survey.
This highlights a critical gap in financial services, particularly for women entrepreneurs in underserved areas.
IFC champions small business growth
“We hope to demonstrate the viability of lending to this sector and encourage other players to develop solutions that cater to MSMEs,” said Jane Yuan Xu, acting country manager for IFC Philippines.
“Because ultimately, we are not just funding companies, we are creating jobs at the grassroots level. Every loan to an MSME can mean five, ten, or twenty new jobs in local communities. And that’s what drives an economy forward,” she added.
Past deals
In 2024, IFC backed two fintech startups, Salmon and First Circle, focused on serving consumers and MSMEs excluded from formal credit systems.
In July, IFC also invested $100 million in a social bond issued by City Savings Bank.
