MUFG Bank Ltd’s Manila Branch has marked its entry into the Philippines’ sustainable finance market, closing its first sustainable trade asset finance transactions with San Miguel Global Power (SMGP) and SN Aboitiz Power Magat Inc.
The deals, executed under MUFG’s sustainable trade asset finance framework, align with international sustainability standards and the group’s Net Zero Commitment by 2050, the bank said. They follow the formal launch of MUFG’s sustainable trade solutions in the Philippines in November 2025.
“MUFG completed its first sustainable trade asset finance transactions with San Miguel Global Power (SMGP) and SN Aboitiz Power Magat Inc. (SN Aboitiz Power) in the Philippines, marking a significant milestone in advancing sustainable financing solutions in the country,” the bank said.
MUFG issued standby letters of credit (SBLCs) to secure the companies’ performance obligations under the Green Energy Auction. For SMGP, the SBLCs back the company’s floating solar and hydropower projects, while for SN Aboitiz Power, the SBLC covers its 50-megawatt floating solar project, the bank said. “SBLCs provide a layer of financial assurance, helping ensure that committed energy projects proceed as planned,” MUFG added.
“These facilities support the delivery of a combined 1GW of capacity from SMGP’s floating solar and hydropower commitments, reinforcing San Miguel’s leadership in renewable energy development,” the bank said.
Marie Diana Lynn Singson, deputy country head and head of global corporate banking for MUFG Manila Branch, said the transactions demonstrate a deepening partnership with two of the Philippines’ major power producers.
“We are proud to partner with industry leaders San Miguel Group and SN Aboitiz Power in driving the Philippines’ renewable energy agenda forward,” she said. “These transactions have further demonstrated their strong drive for positive climate action, while also reaffirming MUFG’s efforts in partnering clients to pursue their sustainability agendas.”
Belinda Han, head of transaction banking Asia Pacific, said the deals highlight MUFG’s capacity to embed sustainability principles into trade finance structures while providing essential credit support for large-scale energy projects.
San Miguel chairman and CEO Ramon S. Ang said the renewable expansion is critical as the country’s energy demand grows.
“As we invest in and build infrastructure that will serve current and future generations, the need to balance our country’s energy needs with the need to protect our environment becomes even more critical,” he said.
Joseph Yu, group president and CEO of SN Aboitiz Power, welcomed MUFG’s partnership, saying it supports the company’s renewable energy projects and the Philippines’ energy transition.
