Discovery Capital Finance Corp. (DCFC) has secured a strategic credit facility from Union Bank of the Philippines (UnionBank), a move aimed at expanding access to financing for small and medium-sized enterprises (SMEs) and strengthening financial inclusion efforts nationwide.
The agreement provides Discovery Capital with additional funding capacity to scale its lending operations and offer working capital solutions to businesses, particularly those operating in underserved and underbanked communities.
New credit line boosts provincial SME financing
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SMEs account for the vast majority of businesses in the Philippines and play a critical role in employment generation and economic activity.
However, many continue to face challenges in accessing timely and affordable financing, especially outside major urban centers.
With the new credit facility, Discovery Capital plans to accelerate its nationwide expansion by establishing additional satellite offices and strengthening its presence in provincial markets. The company said the initiative is designed to bring financing services closer to entrepreneurs and business owners who have traditionally had limited access to formal credit channels.
The partnership also reflects growing collaboration between banks and non-bank financial institutions in addressing funding gaps among SMEs.
By leveraging UnionBank’s funding support and Discovery Capital’s on-the-ground lending network, the two organizations aim to broaden access to capital for businesses seeking to expand operations, purchase equipment, or manage cash flow requirements.
Partnership boosts access to capital nationwide
In a press release, Discovery Capital said its growth strategy is anchored on a combination of risk management practices, digital-enabled lending processes, and a localized operating model that allows it to serve clients across different regions of the country.
“Our ultimate goal is to become the definitive top-of-mind choice for any entrepreneur or business owner seeking financial support in the Philippines,” said Diosdado C. Salang Jr., President and CEO of Discovery Capital Finance Corp.
The company added that the partnership with UnionBank will help strengthen its ability to deliver financing solutions to businesses beyond Metro Manila, supporting economic activity in provincial markets and contributing to broader financial inclusion objectives.
As demand for alternative financing options continues to rise, industry observers expect partnerships between banks and financing companies to play an increasingly important role in expanding credit access for Philippine SMEs, particularly those operating outside traditional banking networks.
