Yuchengco-led bank to boost provincial branches, ATMs

CEBU, Philippines - The banking arm of the Yuchengco group is planning to further invest on branch expansion and technology to boost its presence in rural areas.

Lorenzo V. Tan, president and CEO of Rizal Commercial Banking Corp., said the bank is opening up to 25 branches this year – some are to be put up in provincial areas.

"We are seeing a lot of growth outside Metro Manila – in the provincial areas. Cebu is also an exciting place. Our strategies are a combination of brick and mortar and technology," Tan told The FREEMAN in an interview last week. "We'll continue to expand using technology to reach even the rural areas."

RCBC, including its thrift banking unit, currently has over 400 branches nationwide.

In Cebu, the listed lender currently has 18 branches and eight of its thrift banking unit RCBC Savings Bank.

Marie Rose Ancheta, senior vice president at RCBC Savings, said a target of 500 branches is eyed by end of 2016.

Ancheta said RCBC also targets to hit 3,000 automated teller machines (ATMs) in the next three years.

In Cebu, the bank is looking at potential areas in the south, particularly Carcar City, for a branch this year, she said.

Meanwhile, Liwayway Gener, executive vice president at the Yuchengco group, announced the company is spending at least P1.5 million to renovate a monument of Filipino hero Jose Rizal in Lapu-Lapu City, Cebu. This is part of the group's Buhay Rizal campaign and is the 12th monument to be renovated by the firm, she said.

Alliances

Moving forward, Tan said the bank is open to forming alliances with financial firms outside the country to connect its system in the Southeast Asian region.

Last year, RCBC sealed its equity sale to Taiwan's Cathay Life Insurance Co. Ltd, allowing the latter to acquire a 20 percent stake in the former. "We want to connect our systems to their (Cathay) systems. In that way, we'll be able to do business across borders," Tan noted.

In the first nine months of 2015, the listed lender posted a P3.64-billion unaudited consolidated net income, its financial statement showed.

Shares of RCBC closed at P33.50 per piece on Friday. (FREEMAN)