Publicly listed Citystate Savings Bank is seeking the nod of the Bangko Sentral ng Pilipinas to set up three more branches at various areas in Metro Manila.

Citystate, which currently has a network of 12 branches, wants up to put more outlets in Taguig, Caloocan and Muntinlupa. The bank’s application comes on the heels of Bangko Sentral’s move to partially lift a moratorium on bank branching.

Last November 2005, Bangko Sentral’s policy making Monetary Board approved the phased liberalization of bank branching policy by lifting the existing moratorium.

Under the new guidelines, banks may now establish branches anywhere in the Philippines except in certain areas including the cities Makati, Manila, Parañaque and Pasay which will remain covered by the branch moratorium.

Bangko Sentral liberalized the existing rules to promote growth and competition.

“These are prime locations given the existing residential and commercial development in those areas. And we are inspired by the prospect of bringing Citystate Savings Bank closer to the consumers,” Citystate President Alfred A. Cabangon said yesterday.

Furthermore, the bank will continue to evaluate expansion opportunities in places with robust retail activities as part of its planned branch expansion program within a 3-year period. It will regularly assess the profitability and strategic effectiveness of future branch locations.

“This is another forward step in our branch expansion plan for steady growth and we look forward to not only providing increased convenience to our existing clients, but continuing to increase our market share in other areas as well,” Ms. Cabangon said.

Last year, Bangko Sentral gave Citystate the greenlight to set up three more branches including one at Shaw Boulevard in Mandaluyong. The opening of the next two branches in Cubao, Quezon City and Plaridel, Bulacan will be in June this year.

The additional branches, if approved will enable Citystate Bank to offer a full range of banking products and services to its customers.

Citystate Bank, for instance, offers a prime jewelry loan for as low as 1% monthly interest. It also has a CityMax three-in-one Checking, Savings and ATM Card with an initial deposit of only P1, 500. Competitive loan rates will also be offered.

With the bank’s online signature verification system, depositors will not be charged additional interbranch fees when they transact with other Citystate Bank branches.

Citystate Savings Bank is operated by a consortium, which includes the Fortune Insurance Group and the Citystate Management Group Holdings Pte Ltd of Singapore.

Source: BUSINESS WORLD (Iris Cecilia C. Gonzales)

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