Commercial bank eases SME loan requirements

CEBU, Philippines - Publicly-listed Philippine Bank of Communications (PBCom) has opened its doors to the small and medium enterprises (SMEs)  providing wide and more relaxed financing products to help addresss the lack of capitalization resources of small and medium-sized businesses.

PBCom general manager for Mandaue-Business Center Joey Francis D. Umerez said that the 68 branches of the commercial bank nationwide, five of which are located in Cebu, are now being revitalized and have opened a dedicated SME Department to focus on servicing the SME sector.

Businesses with a maximum asset size of P20 million and below will get capitalization resources from the bank as it recently eased requirements for small and medium size trade players.

This development will give SMEs the opportunity to avail of the low interest rates and pursue their expansion plans.

PBCom’s SME Department was introduced in Manila last year, while in Cebu, the facility was introduced only last January this year.

Umerez said the bank wants to leverage on its simplified requirements for SME borrowers and processing will only take one month once all requirements are complied with.                     He said the bank understands the need of the SMEs to access financing at this time of good economic prospects of the country, helping them to compete against global players.

SMEs can borrow as much as P25 million from PBCom.                  

For Cebu alone, PBCom's corporate portfolio increased by 1000 percent in 2013, from a good mix of large and big ticket corporate borrowers in trading, developments, and shipping, among others.

Meanwhile, the 75-year-old commercial bank recently opened its Cebu Business Park branch while simultaneously activating five business centers to offer one-stop-shop services.

"With the boom in various business sectors in Cebu--including tourism, BPO, manufacturing, and real estate, among others--we are seeing that the market needs more robust financial solutions that empower them in their growing personal and business ambitions," said Nina Aguas, PBCom president and chief executive officer.

"Driven by optimism in Cebu's dynamic business climate, we are activating our business centers as one-stop shops for the market's various requirements," Aguas added.

The activation of PBCom’s new business centers is in line with the bank’s expansion plans as it marks its 75th year.

PBCom is one of the country's oldest banks, starting service in 1939 at the heart of Juan Luna Street in Binondo, deemed as the Philippines' Wall Street at the time. In 1974, it came under full Filipino ownership.  (FREEMAN)