The Yuchengco Group’s Rizal Commercial Banking Corporation (RCBC) has amended its Sustainable Finance Framework to align with current global standards.
In a disclosure to the Philippine Stock Exchange (PSE), the bank its amended framework follows the Securities and Exchange Commission (SEC) Guidelines on Eligible Blue Projects and the International Finance Corporation (IFC) Guidelines for Blue Finance.
The framework is also updated to align with latest developments from the International Capital Market Association (ICMA) on Green Bond Principles, Social Bond Principles and Sustainability Bond Guidelines as well as with the Loan Market Association (LMA), Asia Pacific Loan Market Association (APLMA) and Loan Syndications and Trading Association (LSTA) Green Loan and Social Loan Principles.
It continues to conform to the ASEAN Capital Markets Forum (ACMF) Green Bond, Social Bond, and Sustainability Bond Standards.
“We remain to be a catalyst for positive change through responsible finance which can help contribute to the protection and restoration of our planet’s invaluable ecosystems. The amended Framework also reinforces our support in addressing societal needs toward sustainable development,” RCBC President and CEO Eugene Acevedo said.
The framework was amended under the advisement of the Sumitomo Mitsui Banking Corporation (SMBC) Singapore Sustainability Solutions Group APAC and a Second Party Opinion (SPO) has been issued by Sustainalytics, affirming the alignment of the Bank’s Sustainable Finance Framework with relevant principles and market practices.
RCBC publishes the annual limited assurance allocation report and impact report on its website in line with the disclosure requirements of the Framework.
The bank’s Sustainable Finance Framework remains aligned with the four pillars of sustainable finance: use of proceeds, project evaluation and selection, management of proceeds, and reporting.
Fundamental to the amendment is the expansion of eligibility criteria on green projects to include a subset of blue projects, in line with the SEC and IFC guidelines in blue financing. The eligibility criteria for social projects have also been updated.
In 2022, the Bank financed over 8,200 projects under eligible green and eligible social categories amounting to P71.2 billion.
In January 2024, RCBC raised $400 million from its five-year Sustainability Bonds issuance that was 5.9 times oversubscribed, reflecting the trust of the global market.