Union Bank of the Philippines is targeting to raise as much as P30 billion from the local debt market, according to a report by Philstar Biz . The Aboitiz-led bank intends to use the proceeds to strengthen its funding base and support business expansion.
The bond sale, which has yet to be finalized, will be offered to local investors. UnionBank has been actively raising capital to fund its digital transformation and lending activities. The bank earlier this year reported solid earnings growth, driven by higher loan demand and fee income.
Industry analysts view the move as part of UnionBank's strategy to diversify funding sources amid a competitive banking landscape. The bond issuance also comes as the Bangko Sentral ng Pilipinas maintains a accommodative monetary policy, making debt financing attractive for lenders.