PR Bank Equity

completed

The Project involves an investment in Philippine Resources Savings Banking Corporation (“PR Savings Bank” or the “Bank”), an independent thrift bank in the Philippines, of (i) up to PHP650 million (~US$16 million equivalent) in redeemable preferred shares and (ii) an option to subscribe to up to PHP250 million (~US$6 million equivalent) in common shares. The Bank provides banking and other financial products and services mostly to the unbanked and underbanked population.IFC’s proposed investment will increase the Bank’s regulatory capital in anticipation of the full implementation of Basel 1.5 by 2014, and support the expansion of the Bank’s SME and microfinance lending program to the rural areas of the Philippines.This project fits in with IFC’s strategy to support the Philippine financial markets through equity type investments in local financial institutions that play a key role in increasing financial inclusion by providing access to finance to underserved sectors such as micro-entrepreneurs and small farmers.