Rizal Commercial Banking Corp. Eyes At Least ₱5 Billion From ASEAN Sustainability Bond Issuance

Yuchengco-led Rizal Commercial Banking Corp. (RCBC) plans to raise a minimum of ₱5 billion through the issuance of fixed-rate, peso-denominated ASEAN sustainability bonds, with an option to upsize the offering in case of strong demand.

The planned issuance will represent the ninth drawdown under RCBC’s ₱200-billion bond and commercial paper program. The bonds will carry a tenor of three years from the date of issuance.

 

ASEAN Label and Regulatory Approval

 

On February 23, 2026, the Securities and Exchange Commission Philippines approved RCBC’s application for an ASEAN label. The designation qualifies the offering as an ASEAN sustainability bond under regional sustainability bond standards.

The transaction will be arranged by Standard Chartered Bank and RCBC Capital Corp. as joint lead arrangers and bookrunners, with both institutions also serving as selling agents.

The public offer period is expected to run from March 12 to March 27, 2026, subject to market conditions and final management approval. The bonds are scheduled for issuance and listing on Philippine Dealing & Exchange Corp. on April 8, 2026.

 

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Use of Proceeds and Sustainable Finance Strategy

 

Proceeds from the bond issuance will be allocated to finance or refinance eligible green and social projects under RCBC’s sustainable finance framework. The bank has indicated that funds may support asset growth, refinance maturing liabilities, and cover general corporate purposes, including sustainable project funding.

The issuance forms part of the remaining ₱101 billion available under RCBC’s broader bond and commercial paper program.

RCBC has previously tapped the sustainability bond market. In July last year, the bank raised ₱12.21 billion from its Series F ASEAN sustainability bonds due 2028, which carried a six percent annual coupon.

 

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Expanding ASEAN Sustainable Capital Markets

 

ASEAN-labelled bonds are designed to align with regional standards for green, social, and sustainability financing, offering investors clearer use-of-proceeds transparency and reporting requirements.

For RCBC, the planned offering reinforces its positioning in the Philippine sustainable finance market while contributing to broader regional capital mobilization efforts supporting climate and social development objectives.

As demand for labelled instruments grows among institutional investors, ASEAN sustainability bonds continue to serve as a channel for banks to align funding strategies with environmental and social priorities.