The International Finance Corp. (IFC) said it signed on May 28, 2024 documents on the planned investment in City Savings Bank Inc., the second largest thrift bank in the Philippines and a subsidiary of Union Bank of the Philippines.
The proposed investment involves up to $100 million in a senior, unsecured, fixed rate, gender bond or loan to be issued by CitySavings with a tenor of 3 to 5 years. City Savings is seeking to raise up to $200 million in total, with IFC aiming to mobilize the financing gap of $100 million.
The bond is expected to be aligned with International Capital Markets Association (ICMA) social bond principles.
City Savings focuses on providing mass market financial products, particularly teacher salary loans, pension loans, government/company salary loans, motorcycle loans and traditional deposit products.
