A $100 million investment has been announced for UnionBank’s inaugural sustainability bond, aimed at expanding lending to micro, small, and medium enterprises.
Proceeds from the bond will be directed toward increasing MSME access to financing through new loan products.
The issuance will also broaden the bank’s sustainability portfolio, covering renewable energy, energy efficiency, and green building projects.
It will be issued in accordance with the International Capital Market Association’s Sustainability Bond Principles.
The move supports a broader initiative to deepen the Philippines’ capital markets and channel long‑term sustainable finance into infrastructure, housing, and MSME lending.
UnionBank has been working to diversify its portfolio and identify new sustainability‑related financing opportunities.
In 2021, the bank issued its first social bond, which helped fund more than 3,000 loans to MSMEs impacted by the coronavirus pandemic.
Micro, small, and medium enterprises account for over 99% of Philippine businesses and contribute roughly 40% of the country’s economic output.
UnionBank reported a 167% year‑on‑year rise in net income, reaching P3.833 billion in the first quarter.
The bank’s shares closed at P24.55, down 15 centavos, a decline of 0.61%.
