Asialink eyes P2.4 billion in truck loans as e-commerce grows

MANILA, Philippines — Asialink Finance Corp. is looking at lending as much as P2.4 billion this year to the fast growing market for brand new and used trucks that are essential to the growth of e-commerce and logistics.

Rufino Gomez Jr., Asialink group head of truck loans, said the company is seeing a huge potential in the brand new and used truck market “as more and more people shift from brick-and-mortar stores to digital marketplaces.”

“When you buy something online, it mobilizes a vast network of factories, warehouses, and logistics firms to get the product you want on your doorsteps. Trucks play a vital role in this supply chain,” Gomez said.

According to Gomez, the recovery and growth following the crippling COVID-19 pandemic are also fueling a construction and manufacturing boom that likewise relies on trucks to move raw materials and workers.

To serve these markets, Asialink is earmarking more funds for lending to small and medium enterprises.

Over the past year, the company has been lending to logistics, construction, hauling, freight forwarding and manufacturers.

Asialink is financing the purchase of vehicles from all purpose vehicles, light duty trucks, heavy-duty trucks, to specialized trucks through partner brand new and second hand dealerships.

Each borrower can secure up to P10 million in loans at competitive rates, he said.

These loans carry interest rates of 1.1 to 1.3 percent per month with terms of up to 60 months for new trucks and vans and 36 months for used ones.

Asialink only requires that the borrower has been in business and operating profitably for at least a year.

Asialink released over P12 billion in loans in 2023, underpinned by a growth in its customer base and key partnerships that provided funds for lending. It booked close to 27,000 new borrowers.