Bangko Kabayan


Bangko Kabayan, Inc. is a rural bank in the Philippines that primarily serves the mass market segment and provides financial services to micro, small, and medium enterprises. The bank operates as one of the significant rural banking institutions in the country, with a particular focus on community-based financial services.

History

Bangko Kabayan was established as a rural bank serving local communities in the Philippines. Over the years, it has grown to become a key player in the rural banking sector, focusing on financial inclusion and supporting underserved markets.

Strategic acquisition by CitySavings

In February 2021, City Savings Bank, the thrift bank subsidiary of UnionBank of the Philippines, acquired a strategic stake in Bangko Kabayan as part of its mass market expansion strategy. This acquisition aligned with CitySavings' broader initiative to strengthen its presence in the rural banking sector and enhance financial inclusion in underserved areas.

Merger with FairBank and Progressive Bank

In a significant development during 2023, Bangko Kabayan merged with FairBank and Progressive Bank in a strategic consolidation of rural banking operations. The merger, completed in September 2023, represented a substantial transformation in the Visayas region's banking landscape, combining the resources and expertise of three established rural financial institutions. This consolidation was part of a larger trend in the Philippine banking sector, where rural banks sought strategic partnerships to enhance their operational capabilities and market presence.

Recognition and achievements

Bangko Kabayan has received international recognition for its contributions to financial inclusion and the development of micro, small, and medium enterprises. In 2023, it was named the 'Best MSMEs Development Bank in the Philippines' at the International Finance Awards. This accolade acknowledged the institution's significant contributions to the MSME sector and its role in promoting financial inclusion.

Other notable achievements