Cebu-based Aspac Rural Bank Inc., received P500 million fresh capital to fund the bank’s lending facility.
Former Aspac Rural Bank chairman Augusto W. Go said that the bank will undergo a series of expansion and new branding positioning, so that it can make credit easier, faster, and cheaper for small and medium entrepreneurs (SMEs), as well as individual borrowers.
Go explained that the amount came from the investment arm of its owners and is just an initial infusion.
Proximity to loan approvers will allow the loan approval process to take only a day at most and interest rates will be lower compared to other providers, Go assured.
The bank’s expansion plans include digitalization investments to attract clients outside of Cebu, even without physical branches.
The bank will also open a new model branch in Toledo City, reflecting its new look and branding, before the end of the year.
Established 27 years ago, Aspac Rural Bank now has 12 branches across the Cebu province, with a capitalization of P270 million. Its loan portfolio now stands at P500 million, with a deposit portfolio of P750 million.