UnionBank PR | July 20, 2019
UnionBank fintech subsidiary UBX has partnered with One Connect Financial Technology, part of the Ping An Group, to co-create its first blockchain-enabled digital platform and suite of solutions for micro, small and medium enterprises (MSMEs).
MSMEs make up 99.5% of total establishments in the Philippines and contribute 62.9% of employment, according to statistics from the Department of Trade and Industry. However, the Bangko Sentral ng Pilipinas said one of the biggest challenges these MSMEs face is not knowing where they can access financial products suitable for their business. On the other hand, financial institutions are unable to appropriately gauge the capacity of borrowers due to the lack of former credit histories and reliable financial statements.
Recognizing the huge economic potential of entrepreneurs, UnionBank, and OneConnect seek to empower this sector.
Tapping each others’ expertise – OneConnect’s proven technology solutions and UnionBank’s deep market knowledge and domain expertise in catering to SMEs – both companies are determined to co-create impactful financial solutions for small and medium-sized businesses in the Philippines.
We are honored to have OneConnect – known for its expertise in SME financial services platforms and AI enabledcredit scoring – as our partner in bringing solutions to the needs of our MSMEs. Based on recent statistics from our central bank, only about 6% of total loans in the banking system are invested in MSMEs. Our goal is to give these MSMEs the chance to grow their business and succeed.
– John Januszczak, President and CEO, UBX
UnionBank is confident that through its partnership with OneConnect, a leading fintech SaaS provider of advanced technology-enabled business solutions based on world-class technologies including AI, blockchain, cloud platform, and biometrics identification to small and medium-sized financial institutions, MSMEs will have greater access to resources that would address their restraints on capital and other funding sources, among others.