CitySavings expands to underserved areas

CEBU, Philippines — City Savings Bank Inc., the thrift banking arm of Union Bank of the Philippines and part of the Aboitiz Group is accelerating its “Bangko ng Barangay” strategy after opening five new locations across Luzon and upgrading a branch in the Visayas in 2025, reflecting a broader push to scale mass-market banking.

The lender inaugurated three full-service branches in Malolos City, Bulacan; Paniqui, Tarlac; and Gapan City, Nueva Ecija. It also opened two branch-lite units in Caatinga, Masbate, and Sipocot, Camarines Sur, and converted its Cadiz City, Negros Occidental branch-lite into a full-service outlet in the fourth quarter.

The expansion pushes CitySavings’ bid to combine physical reach with digital capabilities as it targets underserved communities and smaller cities—areas that remain central to growth in retail banking.

Manuel Santiago Jr., president and chief executive officer of CitySavings, said the new branches roll out the bank’s latest digital transformation tools alongside its traditional relationship-driven service model.

The Management describes the approach as a “high-tech, high-touch” experience designed to streamline transactions while preserving in-branch support for customers who rely on face-to-face banking.

While teachers’ salary loans remain a core product, CitySavings is widening its scope to include government employees, pensioners and motorcycle owners—segments that are typically underbanked. The bank has also introduced enhanced deposit products aimed at encouraging savings and basic investment among borrowers and new clients.

“Our branch expansion goes beyond just numbers,” said Santiago.

“As we grow, we aim to be the Bangko ng Barangay—bringing innovative but simple banking to the communities we serve, both through digital channels and our more than 150 physical branches nationwide, he added.

Founded in 1965 in Cebu City by Don Ramon Aboitiz and Teotimo Abellana, CitySavings was built around a mandate to serve customers of moderate means. It has since grown into one of the country’s largest thrift banks, with a nationwide network offering mass-market financial products anchored on its “Simple is Good” philosophy.