Investment expands MSME, worker lending
Enterprises and professionals, including teachers and salaried workers, are set to gain wider and faster access to credit following a ₱200-million equity infusion by Cebu International Financial Corp. (CIFC) into ASPAC Rural Bank.
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| ASPAC Bank directors seal its alliance with Cebu International Finance Corp. on Wednesday, Jan. 14, 2026, and form a new board. They are (from left) Jose Levi S. Villanueva, president and CEO; Ruben D. Almendras, director; Atty. Augusto W. Go, chairman emeritus; Kenneth L. Go, chairman; Alvin Y. Tan Unjo, director; and Christian Tiongko, independent director. Not in photo is the treasurer, Yvette Candice G. Gotianuy, chancellor of University of Cebu. |
The investment strengthens ASPAC's capital base, allowing the bank to expand lending, speed up loan approvals and roll out more digital services, especially for borrowers often underserved by larger commercial banks.
Many of them are micro, small and medium enterprises (MSMEs).
The bank's board of directors met in a special session on Jan. 14 to approve the deal with CIFC whose president and CEO Ruben D. Almendras and director Alvin Y. Tan Unjo now represent the new minority shareholdings.
Chairman emeritus Atty. Augusto W. Go said the fresh capital supports ASPAC's long-term role as a grassroots financial partner for entrepreneurs and working Filipinos, while positioning the bank for its planned upgrade to a thrift bank.
"This is about enabling small businesses, professionals and ordinary employees to move forward," Go told the press in a briefing after the meeting at the bank's head office in Mandaue City.
"With stronger capital, we can support more enterprises, open more branches and grow responsibly with our clients," he pointed out.
ASPAC president and CEO Jose Levi S. Villanueva joined Go in saying that "this investment allows us to lend more, lend smarter, and reach more people who are productive but underserved."
He said the bank already has the assets, systems and governance structure required by the Bangko Sentral ng Pilipinas (BSP) to obtain a thrift bank license.
"We already meet the requirements," Villanueva said. "This investment reinforces our readiness and gives us more capacity to serve our clients better."
Villanueva sits in the ASPAC board with Kenneth L. Go, president and CEO of Visayan Surety and Insurance Corp., as chairman, University of Cebu (UC) chancellor Yvette Candice G. Gotianuy as treasurer, and independent director Christian Tiongko.
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Cebu International Finance Corp. president and CEO Ruben D. Almendras (left) and Atty. Augusto W. Go (right), chairman emeritus of ASPAC Bank, join forces in bringing the homegrown bank towards a new beginning, a better future that will benefit MSMEs, entrepreneurs, professionals and the working Filipinos. |
Portfolio
About 60 percent of ASPAC's loan portfolio is made up of MSMEs, ranging from small traders to mid-sized enterprises, shared Villanueva.
The bank also has a strong presence in consumer lending, particularly for teachers and professionals, whose loans are increasingly processed through online and inter-branch platforms, he also disclosed.
For end users, the capital boost translates into higher loan availability, faster processing and more competitive terms, especially for working capital and personal financing needs, Almendras said at the press briefing.
He said CIFC, which holds banking and financial interests across the region and is among the few non-Metro Manila firms with a quasi-banking license, was on the lookout for good business to invest in.
He declared that CIFC's partnership with ASPAC reflects the company's confidence in the bank's governance, risk controls and community-anchored business model.
Taking cue, Go said strong governance and disciplined lending are central to ASPAC's sustainability.
"Rural and community banks succeed when they remain rooted in the real economy, especially in supporting enterprises, workers and professionals who actually move commerce and services forward," he said.
ASPAC has also invested heavily in technology and is among the more digitized rural banks in the country, offering real-time, inter-branch transactions, he noted, citing it as one reason for CIFC's entry, seeing ahead of the bank's potential.
Villanueva revealed that the bank is preparing to launch a digital wallet with no maintaining balance, aimed at students, families, entrepreneurs and first-time bank clients.
The bank plans to open two additional branches in southern growth areas, using a hybrid model that combines physical branches with digital services to reduce costs while maintaining accessibility, he further disclosed.
CIFC's investment strengthens ASPAC's capital base, allowing the bank to expand lending, invest in applications to secure core systems and enhance digital services, according to Gen Escaño, ASPAC chief distribution officer
"Ultimately, the overarching goal is to provide a delightful customer experience whenever they step inside any of our twelve branches," she said.
These branches are strategically located in Mandaue, Lapu-Lapu, Consolacion, Talisay, Carcar, Toledo, Danao, Bogo, Bantayan Island, Carbon, Banilad, and on N. Bacalso Ave.
Bigger role
The CIFC investment builds on earlier capital support, including a ₱500 million infusion in previous years, which enabled ASPAC to modernize operations, strengthen its balance sheet and acquire most of its branch properties.
Chairman emeritus Go revealed all the current 12 ASPAC branches stand on properties it owns, lowering fixed costs and improving resilience, as the bank further benefits from the appreciation of its assets.
With teachers almost one-fourth its borrowers, Go said "ASPAC is the fastest to lend to teachers. We do it within just 36 hours."
"Depositors can be confident that their savings are safe because the bank owns the property where it operates," he said, as he revealed that "we do not borrow from our own bank," referring to his other business interests like the university system.
Villanueva explained that "people still look for brick and mortar," especially in the countryside. It still matters to depositors because "we are physically present."
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| As president and CEO, Jose Levi S. Villanueva (left) continues to steer ASPAC Bank towards becoming a thrift bank, opening new branches and fully realizing its digitalization program, this time with much elbow room and the support of his counterpart in Cebu International Finance Corp., Ruben D. Almendras (right), now a director of the bank under the AWG Group. Villanueva previously served as EVP of CitySavings Bank, SVP of Union Bank and VP of Citibank, NA. |
'Real impact'
Both Go and Villanueva said ASPAC's medium-term goal is to become a thrift bank, with a longer-term vision of evolving into a commercial bank and, eventually in time, a universal bank.
They look forward to the possibility when the bank will soon allow itself to offer broader financial products, while remaining focused on community-based banking.
With the support of Almendras, Go expressed confidence in Villanueva to lead well in upgrading, position and expansion of ASPAC through the rest of the current decade.
Before joining ASPAC, Villanueva previously served as vice president of Citibank, N.A. Philippines, senior vice president of Union Bank of the Philippines, and executive vice president of CitySavings Bank.
"When local banks grow responsibly, MSMEs, professionals and workers grow with them," Villanueva said. "That's where the real impact is."