COMPANY PROFILE -Rizal Commercial Banking Corporation (RCBC)
Business Sector :Banking & Financial Institution
Operating Geography :Philippines, Asia, Global
About Rizal Commercial Banking Corporation (RCBC) :
Rizal Commercial Banking Corporation (RCBC) focuses on corporate and retail banking. The company was established in 1960 and is headquartered in Makati City, Philippines. RCBC offers a range of financial services, including deposits, loans, treasury, investment banking, cash management, trust and fiduciary services, credit cards, and electronic banking. The bank operates through a network of over 400 branches and 1,000 ATMs throughout the Philippines, and also has a presence in Hong Kong and Taiwan. RCBC has a strong reputation for innovation and was the first bank in the Philippines to introduce mobile banking services. The bank is committed to responsible and sustainable banking, and has implemented various initiatives to support financial inclusion, environmental sustainability, and community development. The company is listed on the Philippine Stock Exchange and is majority-owned by the Yuchengco Group of Companies. It was awarded as the Best Digital Bank by Asia Money 2021. As of early 2023, RCBC employed over 5,650 people.
The USP of RCBC lies in it being one of the largest universal banks in the Philippines. RCBS’s vision is “To be the most admired and trusted profitable financial services group providing and adapting to customers’ changing needs - for every Filipino worldwide - through innovative products, excellent service and a highly motivated, committed and impassioned team.”
Rizal Commercial Banking Corporation (RCBC) Revenue :
Php 7.1 billion – FY ending 31st December 2021
Php 5 billion – FY ending 31st December 2020
Competitive Analysis of Rizal Commercial Banking Corporation (RCBC)
The SWOT analysis for Rizal Commercial Banking Corp. is presented below in a matrix format followed by a detailed analysis:
Strengths | Weaknesses |
1. Provides a wide range of banking and financial products and services
2. Leading financial services provider in the Philippines
3. Caters to a highly diversified client base
4. Recipient of numerous awards and citations from various institutions and publications
5. Robust financial performance and a strong balance sheet
6. Significant growth strategies for all the subsidiaries
| 1. Weak asset quality leading to downgrade in ratings |
Opportunities | Threats |
1. Pioneering ‘phygital’ banking to serve far-flung communities
2. Significant investments from SMFG
3. Collaborations to accelerate digital financial inclusion
| 1. Increasing instances of cyber-attacks on banks
2. High inflation slowing down the economy
|
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Detailed SWOT Analysis of Rizal Commercial Banking Corporation (RCBC)
Strength
1. Provides a wide range of banking and financial products and services: Under the name Rizal Development Bank, Rizal Commercial Banking Corporation (RCBC) started its operations as a private development bank in the province of Rizal in 1960. The Bank offers a variety of banking and financial services and goods. It provides remittance services, cash management products, treasury products, commercial, corporate, and consumer loan products, as well as digital and mobile banking services. The Bank and its nine subsidiaries operate in typical banking activities as well as investment banking, retail lending (including vehicle, mortgage/housing, credit card, and microfinance loans), remittance, leasing, foreign exchange, and stock brokerage.
The remaining section under "Strength" is available only in the 'Complete Report' on purchase.
Weakness
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Opportunity
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Threat
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The PESTLE analysis for Rizal Commercial Banking Corp. is presented below in a matrix format followed by a detailed analysis:
Political | Economic |
1. Borrowing by the government to ease inflation in 2023 | 1. Asia feels the heat of US inflation fight
2. Lifting of the interest rate ceiling on credit cards in Philippines to provide tailwinds to banking sector
|
Social | Technological |
1. Consumers increasing preferences towards digital banking | 1. Digital acceleration through data science and predictive analysis
2. Agreements with CDA to digitalize cooperatives
3. Digital solutions to minimise engagement in the wake of pandemic
|
Legal | Environmental |
1. Involvement in lawsuit highly impact reputation | 1. Sustainable finance to reduce carbon emissions
2. Closure of coal-fired power plants
|
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Detailed Pestle Analysis of Rizal Commercial Banking Corporation (RCBC)
Political
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Economic
This section is available only in the 'Complete Report' on purchase.
Social
This section is available only in the 'Complete Report' on purchase.
Technological
This section is available only in the 'Complete Report' on purchase.
Legal
This section is available only in the 'Complete Report' on purchase.
Environmental
1. Sustainable finance to reduce carbon emissions: According to the 2021 Global Climate Risk Index, the Philippines is ranked fourth among the 10 nations that have experienced the greatest number of extreme weather events during the past two decades (2000-2019). The nation is frequently susceptible to tropical cyclones because of its geographic location, including Bopha in 2012, Haiyan in 2013, and Mangkhut in 2018. The Philippine banking sector's transition to developing a portfolio of loans that is both climate resilient and low carbon has been led by RCBC. It is essential for the Bank to contribute to decreasing carbon emissions through sustainable financing given that it is located in a nation that is regarded as one of the most vulnerable to a climate disaster. RCBC declared in December 2020 that it will stop providing finance for new coal-fired power projects in the Philippines. Additionally, its exposure to coal investments will diminish and only be shown in the Bank's records till 2031. This is a clear example of how RCBC is taking the lead in shifting finance to clean energy, backing the government's ban on endorsing new coal power stations, and creating a more sustainable balance of energy sources. The Bank has financed about 3 GW of renewable energy projects since 2012. (solar, wind, hydropower, and geothermal). By utilising 12 projects in 2022 and 2023 with a total capacity of around 1.6 GW, it plans to strengthen financial support for renewable energy initiatives.
The remaining section under "Environmental" is available only in the 'Complete Report' on purchase.
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TABLE OF CONTENTS
DELIVERY AND FORMAT
WHY CHOOSE US?
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References used in Rizal Commercial Banking Corporation (RCBC) SWOT & PESTLE Analysis Report
1. Annual Report - https://www.rcbc.com/uploads/media/RCBC-2021-Annual-and-Sustainability-Report-V4_092022.pdf
2. Investors Presentation - https://www.rcbc.com/uploads/media/RCBC-Investor-Presentation-3Q-2022.pdf
3. Government to borrow P200 billion locally in January - https://www.philstar.com/business/2022/12/24/2232914/government-borrow-p200-billion-locally-january
4. Higher 3% cap on credit card transactions starts next month - https://www.philstar.com/business/2023/01/22/2239259/higher-3-cap-credit-card-transactions-starts-next-month
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