RCBC leads Green Finance initiatives, engages in industry talks
MAKATI, Philippines — Rizal Commercial Banking Corporation's (RCBC) recent efforts to invest in financial activities that contribute to sustainable and long-term development mark a significant turn toward a greener approach to finance.
In a recently held Green Finance Roundtable discussion, RCBC’s Chief Risk Officer Jamal Ahmad was among the key resource persons in uncovering opportunities for investors to engage in activities that directly contribute to sustainable long-term development and nation-building.
"RCBC's pioneering efforts toward recognizing financial system risks and creating countermeasures to sustain climate impact and facilitate the creation of methods to adapt and scale investments for renewable energy have helped set a trend in the industry, with the hope that local financial institutions would also realize the urgency of this matter and commit to the same cause, in the spirit of corporate citizenship," Ahmad said.
Early this year, RCBC announced in a disclosure to the Securities and Exchange Commission (SEC) that it will be issuing at least ₱15B ($285M) in Green Bonds. It is the first peso-denominated Green Bond issuance of its kind in the country, and is the first to be issued by a universal bank. As a major financial institution in the Philippines, RCBC's Green Bond issuance is also the country's first bond issuance that is aligned with the ASEAN Green Bond Standards (ASEAN-GBS). In June this year RCBC issued a ₱8B ($160M) Sustainable Bonds under the ASEAN Sustainable Bond Standards (ASEAN-SBS) and first of its kind bond issued by a corporate in the Philippines.
Funds channelled through RCBC's Green Bonds and Sustainable Bonds are aimed at backing eligible projects that will build services and infrastructures to support renewable energy, green buildings, clean transportation, energy efficiency, pollution prevention and control, sustainable water management, environmentally sustainable management of living natural resources and land use, affordable basic infrastructure, access to essential services, employment generation, affordable housing, as well as socioeconomic advancement and empowerment.
“The green and sustainable bonds are projected to create and sustain environmental and social projects, helping ease the local impact of climate change from a global scale,” Ahmad added.
RCBC was one of the industry leaders invited to participate in a Deep-Dive Dialogue on Green Finance, a roundtable discussion among key industry stakeholders organized in collaboration with British Embassy Manila and Association of Development Financing Institutions in Asia and the Pacific.
The Roundtable was convened to build on current discussions with public and private sector financial institutions (FIs) and how their organizations may help control or eliminate risks produced from the financial system by reducing carbon exposure and diversifying into and growing business opportunities in green infrastructure.
For more information on RCBC's green finance efforts, check out the latest news about their engagements at https://www.rcbc.com/Others/Sustainability.