MANILA, Philippines - The Rizal Commercial Banking Corp. (RCBC) is close to achieving its $2.2 billion worth of remittance business target for 2014. Last year, the bank generated $2 billion worth of business.
RCBC executive vice president and Global Transaction Banking (GTB) Group head Gary B. Villanueva reported the remittance business has amounted to $1.45 billion end September.
“The bank is confident that yearend targets will be achieved,” Villanueva said in a press briefing yesterday.
RCBC’s optimism is buoyed on the historical fact that remittances spiked up vigorously toward the Yuletide season. “It has been on an strong upward trend since last month,” they added, during the formal launch of MyWallet Telemoney, a pre-paid card designed specifically for overseas Filipinos.
Proceeds from the remittance business have been growing by an average 6.2 percent.
Next year, RCBC will be stepping up its remittance business in Asia with emphasis on Hongkong, Singapore, Taiwan, Malaysia and Korea.
The leading locations of overseas Filipinos are Middle East-North Africa (MENA), North America/Canada, Europe, and Asia.
Villanueva said the bank has either a representative office in most of the OFWs favorite locations, or have established correspondent banking or remittance tie-ups in the key locations.
Strategic tie-ups with foreign banks, international money transfer companies, and the like reached 1,176 alliances while it has representive or remittance officers in Rome, Milan, three in Hong Kong, among others.
“We also have are bank marketing personnel in these areas,” he added.
RCBC has a market share between eight to nine percent from remittances coursed through the banking system, often called the formal sector, as against the so-called informal sector such as the door-to-door.
Land-based OFWs account for two-third of its remittance business and the rest from sea-based Filipinos.
The remittance business boosts not only the bank’s foreign currency business. It also develops strategic alliances for corporate transactions, new and existing accounts.
RCBC’s debit card business has also been growing through the MyWallet brand.
The recently launched TeleMoney has already hit 500 cards in just a little over two months. “Our target is to hit 2,000 cards by the end of the year,” Alvin V. Antonio, RCBC first vice president and Telemoney division head, said.
MyWallet pre-paid cards have reached 4.5 million, and 6.4 million including automated teller machine (ATM) cards.