Rizal Commercial Banking Corporation

The Rizal Commercial Banking Corporation (RCBC) (Chinese: 中華銀行; Pe̍h-ōe-jī: Tiong-hôa gîn-hâng) was established in 1960 as a development bank and is licensed by the Bangko Sentral ng Pilipinas (BSP) for both commercial and investment banking. It is one of the largest universal banks in the Philippines with total consolidated resources of Php 645 billion[4][5] as of end-2018.

Rizal Commercial Banking Corporation
Traded asPSERCB
IndustryFinancial Services
FoundedManila, Philippines (1960)
HeadquartersMakati, Philippines
Key people
₱4.32 billion[4][5] (2018)
Total assets₱644.6 billion[4][5] (2018)
OwnersYuchengco Group of Companies
Cathay Financial Holdings
International Finance Corporation
ParentYuchengco Group of Companies

RCBC is majority-owned by the Yuchengco Group of Companies (YGC), one of the oldest and largest conglomerates in Southeast Asia covering over 60 businesses which include the non-life insurance company, Malayan Insurance, a life insurance company joint venture with Sun Life Financial Philippines, SunLifeGREPA Financial, Inc.; the construction company EEI Corp.; educational institutions; and vehicle dealerships. Other significant investors of the bank include the World Bank's International Finance Corporation and Cathay Life Insurance Co., Ltd., a wholly owned subsidiary of Cathay Financial Holding., Ltd.


Early yearsEdit

RCBC opened for business as a small development bank in 1960, then went through rapid expansion to become the preferred banker to a wide range of markets: the Filipino-Chinese market, the corporate market, locators in the export processing zones, the middle market, and the consumer/ retail market.

In 1964, RCBC marked a significant presence in the Filipino-Chinese business community with the opening of its first branch in Binondo. In 1967, this foothold was strengthened when Ambassador Alfonso T. Yuchengco, founder of the Yuchengco Group of Companies (YGC), assumed the Chairmanship of the board. Because of his strong ties with the Filipino-Chinese business community and the bank's record in serving this market, the Filipino-Chinese market has remained to be one of the bank's major market niches.[citation needed]

The 1970sEdit

In 1973, Chairman Yuchengco deemed it crucial to invite two international banks to raise the level of banking expertise of RCBC in trade financing, international banking, credit control, and systems and procedure to global standards. These were the Continental Illinois National Bank and Trust Co. of Chicago, USA (CONNILL) and The United Financial of Japan. The tie-up with these banks reinforced the role of RCBC among corporate clients who preferred institutions with international banking expertise. Further, the affiliation with The United Financial of Japan opened another market for RCBC: the Japanese market. Together, the corporate, the Filipino-Chinese and Japanese markets account for a substantial share of the bank's portfolio.

The 1980sEdit

The period marked the rapid branch expansion for the bank. While most of its peers were establishing branches within Metro Manila, RCBC pursued branch expansion in key growth areas like the export processing zones. This enabled the bank to tap and forge long-term relationships with the foreign locators especially those in the semiconductor industry.

Anticipating bigger things to come, RCBC successfully listed its shares in the Philippine Stock Exchange in 1986. The following year, RCBC diversified into the retail market with the introduction of private banking, home mortgage, car financing and the RCBC Credit Card.

The 1990sEdit

The establishment of the RCBC's thrift bank arm - the RCBC Savings Bank in 1996 was an indication of RCBC's strategic thrust of becoming a major player in the retail market. This has been supported by the acquisition of a large thrift bank - the Capitol Development Bank in 1998 and the acquisition of 67% stake in Bankard, a major player in the credit card business in mid-2000.

The expanded branch network of 287 branches and 5 extension offices, the opening of foreign offices in Hong Kong (RCBC International Finance, Ltd.) in 1979, in the US (RCBC California International, Ltd.) in 1993 and in Italy (RCBC Telemoney Europe) in 1995 and affiliations with offshore banks and money transfer agencies, stabilized the position of RCBC in the remittance business. The bank now accounts for more than 10% of the remittance business.

On top of a banking business, the bank has equity holdings in companies engaged in power generation, automotive assembly, thrift banking, food manufacturing, etc. RCBC entered into a joint venture agreement with Honda Cars and Mitsubishi Corp. of Japan and the Ayala Group to produce the well-engineered and popular Honda cars for the Philippine market. Together with another Yuchengco Group flagship, the House of Investments, and the Enron Corp., it put up the Subic Power Corp. (SPC), a diesel-fired 116-megawatt power plant built under the Build-Operate-Transfer scheme.

To strengthen its position in the capital market, the bank fully acquired the Philippine Pacific Capital Corp. from its partners and renamed it RCBC Capital Corp. It entered into a joint venture agreement with Isuzu Corp., Mitsubishi Corp. and the Ayala Corp. to form Isuzu Motors Phils. Co., Ltd., which is into the assembly, manufacturing, importation and distribution of AUVs, pick-ups and medium- and big-sized trucks and buses. It has equity participation in Pilipinas Shell Petroleum Corp. In November 1996, RCBC joined Agila Holdings, Itochu and Hacienda Luisita in putting up the Luisita Industrial Park Corp., a 300-hectare industrial park for Japanese investors. Together with Great Pacific Life Assurance Corp., it forged a tie-up (1997) with Japan's largest life insurance company, the Nippon Life Insurance Corp., forming a new joint venture life insurance company - the Nippon Life Insurance Company of the Philippines. Other equity investments of RCBC are in LGU Guarantee Corp, a joint BAP/DBP guarantee institution to cover 85% of local government's unit debts; in Lima Land, Inc., a real estate company involved in the development of a 440 hectare industrial park in Lipa/ Malvar; in KG Investments Holdings, Ltd. with the Koo family and in RCBC Land, Inc., a joint venture between RCBC and Pan Malayan Management and Investments Corporation. The company's maiden project is the RCBC Plaza, the new home of RCBC. The project is a joint venture with the Government (of Singapore) Investment Corporation.[citation needed]


RCBC Capital CorporationEdit

RCBC's Investment banking arm which offers investment banking and financial consultancy services which include (i) the underwriting of equity, quasiequity and debt securities on a firm or best efforts basis for private placement or public distribution; (ii) the syndication of foreign currency or peso loans; and (iii) financial advisory services.

RCBC Securities, Inc.Edit

A wholly owned subsidiary of RCBC Capital, is engaged in the electronic and traditional trading of listed securities and in providing corporate and market research.

RCBC Bankard Services Corp.Edit

A wholly owned subsidiary of RCBC Capital engaged in providing services to the credit card business of the bank.

RCBC Forex Brokers CorporationEdit

Incorporated in 1998. RCBC Forex is primarily engaged in dealing and brokering currencies in foreign exchange contracts with local and international clients.

Merchants Savings and Loan Association, Inc. (operating under the name & style - Rizal Microbank, a thrift bank)Edit

Was acquired by RCBC to engage in microfinancing and development of small businesses. Rizal Microbank has 15 microfinance lending branches with operations in Southern Luzon and Mindanao.

RCBC Leasing and Finance Corporation (formerly First Malayan Leasing and Finance Corporation )Edit

A pioneer in the leasing and financing industry in the Philippines as the company started its operations in 1957. RCBC Leasing is a non-bank financial institution with a quasi-banking license granted by the Bangko Sentral ng Pilipinas. It serves the requirements of corporate, commercial and consumer markets through its innovative loans, leases and investment products.

To minimize the bank's carbon footprint, on 28 October 2013, RCBC's microfinance subsidiary, Rizal Microbank opened the very first banking office made of recycled shipping container vans in the Philippines. Rizal Commercial Banking Corporation

See alsoEdit


  1. ^ Eugene Acevedo
  2. ^ Charm, Neil. "Acevedo is new RCBC president, CEO | BusinessWorld". Retrieved September 22, 2019.
  3. ^ Dumlao-Abadilla, Doris. "New RCBC CEO preaches the 10 'commandments'". business.inquirer.net. Retrieved September 22, 2019.
  4. ^ a b c "Annual Report". Retrieved September 22, 2019.
  5. ^ a b c Charm, Neil. "RCBC net income steady at P4.3 billion on lending | BusinessWorld". Retrieved September 22, 2019.

External linksEdit

  Media related to Rizal Commercial Banking Corporation at Wikimedia Commons