Metrobank inks remittance pact with New York bank

MANILA, Philippines - The Metropolitan Bank and Trust Co. (Metrobank) has expanded its reach to overseas Filipinos, especially those residing in the United States, with an agreement with the Bank of New York Mellon (BNYM) for a retail remittance program.

Called Remit Worldwide, BNYM can receive remittances from Filipinos based in the US for beneficiaries in the Philippines. The New York-based bank will then electronically-forward the same to Metrobank for distribution to various branches near the beneficiaries.

The agreement allows BNYM to receive remittances for credit to Metrobank accounts, cash pick-up, home delivery, as well as other banks payments.

Metrobank executive vice president and International Offices and Subsidiaries Group head Carmelita R. Araneta said that with over 8,000 partners - mostly credit union and banks - that BNYM has for the program, the arrangement complements Metrobank’s offices in the United States.

“The new arrangement expands the bank’s relationship with Bank of New York Mellon from a purely correspondent relationship to a remittance partnership,” Araneta added.

Metrobank corners a major share of the total remittance business owing to its remittance offices and partners abroad. The bank has an extensive global network of international branches, offices, and subsidiaries in Asia Pacific (Hong Kong, Japan, Singapore, Taiwan, and Shanghai), the Americas (New York, Hawaii, California, Chicago, Canada, and the Bahamas) and Europe (London, Rome, Milan, Bologna, Madrid, Barcelona and Vienna).

Last year, Metrobank established a sub-branch in Shanghai, the business center of China. 

Metrobank already operates a full branch in Shanghai, and under state regulations, one full branch can give birth to many sub-branches in the same province or city.

It likewise increases the opportunities to open full branches in other provinces or cities anywhere else in mainland China. Metrobank is the only Philippine bank that has an operating full branch license in China.

Araneta explained that operating more branches and sub-branches opens more opportunities for the Ty-led universal bank.

A sub-branch allows for basic banking services as a full branch including deposit taking, lending, trade banking and remittances.

Metrobank is one of the country’s leaders in the remittance business, accounting for roughly a fifth of total remittances passing through the country’s banking system. It has an extensive network of 552 domestic branches and an ATM network with over 800 teller machines.

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