Rizal Commercial Banking Corp. (RCBC) is set to raise at least P5 billion through a new issuance of fixed-rate, peso-denominated ASEAN Sustainability Bonds, the ninth drawdown under its P200-billion Bond and Commercial Paper Program.

In an advisory to the local bourse, the bank said the planned offering will carry a three-year tenor, with an oversubscription option depending on investor demand. Proceeds will be used to finance or refinance projects under RCBC’s Sustainable Finance Framework, which includes renewable energy, climate-related initiatives, and programs that promote financial inclusion.

RCBC said it secured approval from the Securities and Exchange Commission for its application for the ASEAN label on 23 February, allowing the issuance to qualify under the ASEAN Sustainability Bond Standards.

The public offer is scheduled to run from 12 March to 27 March, with listing at the Philippine Dealing & Exchange Corp. targeted for 8 April 2026, subject to market conditions. Standard Chartered Bank and RCBC Capital Corp. will act as joint lead arrangers and bookrunners, and will also serve as selling agents.

ASEAN sustainability bonds are part of a regional framework designed to mobilize capital for projects that deliver environmental and social benefits. Issuers must commit the proceeds to qualified projects—such as renewable energy, sustainable infrastructure, healthcare, or livelihood initiatives—and provide transparency on how funds are allocated and monitored. The standards were developed by the ASEAN Capital Markets Forum to align Southeast Asia’s bond market with global sustainable finance practices.

Philippine banks have increasingly tapped this funding channel as demand for ESG-linked investments grows. BDO Unibank also recently launched its fifth peso-denominated ASEAN Sustainability Bond offering in January 2026, with a three-year tenor and a 5.7125 percent coupon rate, and a minimum aggregate issue size of P5 billion, as part of its continuing sustainable finance initiatives. The fixed-rate sustainability bonds follow the bank’s four previous issuances since January 2022, which have raised a combined P286.7 billion.

The Sy-led lender has been among the most active issuers in the space, having raised hundreds of billions of pesos through sustainability bonds since 2022, signaling strong investor appetite for ESG-aligned financial instruments.

Other major Philippine banks have also entered the market in recent years, reflecting a broader shift in the local financial sector toward sustainable finance. For lenders like RCBC, the planned issuance strengthens funding flexibility while channeling capital toward projects that support inclusive growth and environmental sustainability.